The Financial Reporting Council (FRC) says it will commence sanctioning private and public entities that violate the code of corporate governance in the country.
The chief executive of the FRC, Rabiu Olowo, disclosed this during a two-day National Corporate Governance Summit held in Lagos. He said the council as a regulator is working to ensure that corporate governance is deepened in organisations.
“When I came in last year August, the first company we sanctioned was a government entity, sending the signal to the private sector that we are coming. So, we are moving away from the hard issues when it comes to corporate governance as it is practised overseas,” he said.
Olowo said the council is moving to the soft issues such as diversity on board, commitment to value and executive compensation. He said the council is currently recruiting independent corporate governance reviewers.
“We are looking for experts both in public and private to join our monitoring and evaluation team so that we can deepen the level and scope of what we do,” he said.
