Jaiz Bank in succession crisis as two MDs emerge - Newstrends
Connect with us

News

Jaiz Bank in succession crisis as two MDs emerge

Published

on

There appears to be a brewing boardroom bickering at Jaiz Bank Plc over the tenure of the current Managing Director and the appointment of a successor.

The two claimants are the current Managing Director, Mallam Hassan Usman and a new candidate, Mr. Mohammed Shaheed Khan, who was appointed by the board to succeed Usman.

It was alleged that due to COVID-19 pandemic which ravaged the bank’s board, the current MD fought back to regain his seat while a new appointment was subsisting.

Reacting to the alleged infighting among directors, a top official of the bank said there was no rift on the board of Jaiz Bank.

“In fact, the board of directors held its 34th board meeting with 100 per cent attendance on the 27th of October 2020. This was followed by a successful Extra Ordinary General Meeting (EGM) the following day which was presided over by the Chairman, Dr Umaru Mutallab,” the source said.

Regarding the offer of appointment to Khan, the source said the offer was given subject to the approval of the Central Bank of Nigeria (CBN). The apex bank approved terms different from what was offered to Khan and the board consequently decided not to proceed with the process of appointing him as managing director of the bank.

According to investigation, both the current managing director of the bank and the new candidate have been caught in the bitter boardroom politics of Jaiz Bank.

Findings confirmed that some shareholders of the bank have sharp disagreement with some directors and board members.

It was gathered that some board members took advantage of COVID-19 infection of some of their colleagues to gain upper hand to reverse the decision of the bank to hire a new Managing Director/ CEO.

The boardroom crisis may cost the bank about N2 billion being the six-month salaries of Khan at $175,000 per month.

Investigation showed that the new candidate, Khan (who is a foreigner) was offered a letter of appointment on August 3, 2020.

The Central Bank of Nigeria (CBN) also on 17th September 2020 confirmed that it has no objection to Khan’s choice.

A top source, who spoke in confidence, said: “We have a boardroom crisis at hand. The current MD/CEO, Mallam Hassan Usman, was doing well but some directors insisted on change. They asked him to proceed on retirement and set machinery in motion for the recruitment of a new MD/CEO.

“Along the line, some board members who wanted the MD to retire became ill. Some aggrieved shareholders and board members held an Emergency Board meeting to nullify the retirement notice of the current MD/CEO.

“This is the challenge at hand. We are expecting the intervention of the CBN and restoration of peace to the board.

“The new candidate has written the bank to demand N2 billion as salaries for six months at US$175,000 per month. We may be drawn into a prolonged legal battle.”

Another source in the bank said: “I think the problem at hand was borne out of mutual suspicion among board members.

“Some board members are nursing fears that they may be edged out by certain powerful shareholders. We are really in trouble. And this is the first Islamic bank in Nigeria. Business interest is overriding the fear of Allah.”

A letter to the Chairman of the board of Jaiz Bank, Alhaji (Dr) Umaru Mutallab and the CBN by Khan’s counsel, A. U. Mustapha (SAN) gave insights into how Jaiz ran into crisis.

The letter, dated 26th October, 2020, was also copied the President of the Chartered Institute of Bankers of Nigeria (CIBN) and the Secretary of Jaiz Bank.

The letter said: “Khan, who has a Fintech background, strong network and profile, was approached by Jaiz Bank because the current Managing Director was retiring, and the Bank needed transformation (both cultural and digital) to compete with other digital focused Islamic banks and incumbent banks.

”After rigorous and exhaustive interviews, Khan was offered a letter of appointment as managing Director/CEO of Jaiz Bank on the 3rd of August 2020 and the same letter was duly accepted. Thereafter, a Contract of Employment was drawn between Jaiz Bank and Khan.

”On the 7th of August 2020, Jaiz Bank wrote to the Central Bank of Nigeria (CBN) requesting for its approval to appoint Khan as its MD/CEO.

“The CBN replied by its letter dated 14th August requesting for further clarifications.

“On the 21st of August 2020, Jaiz Bank wrote another letter to CBN where it acknowledged CBN’s letter dated 14th august 2020, stating “we will strongly request your kind consideration and approval for the appointment of Muhammed Shaheed Khan as managing Director Designate.”

“In response to the passionate request, CBN, by its letter dated 17th September 2020 CBN formally confirmed that it “has no objection to the appointment of Mohammed Shaheed Khan as Managing Director/CEO for two years from the date of his appointment.

“Following his appointment as the MD/CEO of Jaiz Bank, Khan completed all formalities and resigned from his previous job and his resignation was duly accepted by the board of his former employers.

“He withdrew his children from their current school, donated/sold his furniture, secured a smaller accommodation for his close relations and thereafter, started working remotely for Jaiz Bank.

“On the 3rd and 11th of September, Khan attended to official electronic mail from the Company Secretary “Executive Directors would like to have your input on a proposal to secure some IT infrastructure, details of which will be shared with you shortly”;

”But the current outgoing Managing Director of Jaiz Bank, Mallam Hassan Usman, on the 25th of September 2020, after an emergency board meeting, informed Khan that Jaiz allegedly cannot proceed with the appointment.

“Khan replied by claiming that he had been in contact with the Chairman and Company Secretary as the Chairman had no knowledge of the alleged termination of his appointment and that as an outgoing Managing Director, he lacks the authority to send the correspondence.

“On 30th September 2020, Khan wrote the Chairman, Board of Directors of Jaiz Bank, Alhaji (Dr) Umaru Mutallab CON, FCA, and the Company Secretary that he has completed all the formalities and as per the offer letter and he will be joining Jaiz Bank on October 2nd 2020.

On the same 30th September 2020, Alhaji (Dr) Umaru Mutallab CON, FCA, Chairman; Board of Directors of Jaiz Bank replied back “We look forward to your resumption on the 2nd of October officially as MD designate while the visa formalities are being finalized. On behalf of the Board, we look forward to seeing you soonest in person in Nigeria.”

Source: The Nation

Loading

News

Publicity Helps Terrorists, Not Victims — Reno Omokri Warns

Published

on

Publicity Helps Terrorists, Not Victims — Reno Omokri Warns 
Ambassador-designate to Mexico, Reno Omokri

Publicity Helps Terrorists, Not Victims — Reno Omokri Warns 

Former presidential aide and author, Reno Omokri, has argued that excessive publicity and global attention on terrorist activities often benefit perpetrators rather than pressure them into releasing victims.

In a detailed statement, Omokri maintained that terrorists thrive on attention and deliberately use media coverage to spread fear, attract influence, and strengthen their operations. He referenced former British Prime Minister Margaret Thatcher’s famous remark that “publicity is the oxygen of terrorism,” arguing that this principle remains relevant in modern counterterrorism strategy.

Omokri said public reactions to high-profile abductions, including global campaigns and celebrity involvement, can unintentionally increase the value of hostages in the eyes of kidnappers, making their release less likely.

He cited the case of the #BringBackOurGirls campaign following the 2014 Chibok schoolgirls’ abduction, claiming that international attention elevated the profile of Boko Haram and complicated rescue efforts. According to him, what began as a humanitarian movement eventually made the girls “high-value hostages” in the hands of their captors.

READ ALSO:

The former presidential spokesman also said he personally engaged in international advocacy efforts to secure the release of abducted Leah Sharibu, including meetings with world leaders and funding personal initiatives. However, he claimed security experts later advised that excessive publicity around her case may have inadvertently increased her value to terrorists.

Omokri further referenced guidance allegedly contained in journalism and security manuals on terrorism coverage, arguing that responsible reporting should avoid amplifying fear or giving undue attention to terrorist acts.

He insisted that government security agencies continue to work behind the scenes to secure the release of abducted victims, while urging Nigerians to avoid emotionally driven reactions that may, in his view, complicate rescue operations.

According to him, terrorists are strategic actors who benefit from attention, and reducing publicity around their actions may weaken their psychological impact and operational incentives.

Omokri concluded that counterterrorism efforts require a more rational and less emotional public response, warning that sustained global amplification of kidnapping incidents may unintentionally serve the interests of criminal groups rather than victims.

Publicity Helps Terrorists, Not Victims — Reno Omokri Warns

Loading

Continue Reading

News

Democracy Day: Tinubu Unveils Security, Economic Plans, Honours June 12 Heroes

Published

on

Democracy Day: Tinubu Unveils Security, Economic Plans, Honours June 12 Heroes
President Bola Ahmed Tinubu

Democracy Day: Tinubu Unveils Security, Economic Plans, Honours June 12 Heroes

President Bola Ahmed Tinubu has reaffirmed his administration’s commitment to strengthening Nigeria’s democracy, improving national security, deepening economic reforms, and delivering prosperity to citizens as the country marked Democracy Day 2026.

In his nationwide Democracy Day address on Friday, Tinubu celebrated Nigeria’s 27 years of uninterrupted democratic rule, describing it as the longest stretch of civilian governance in the nation’s history.

The president said that despite existing challenges, democracy remains the foundation of Nigeria’s progress and called on citizens to continue defending and strengthening democratic institutions.

According to him, Nigerians have consistently chosen their leaders through elections, witnessed peaceful transfers of power, and resolved political disputes through constitutional means rather than violence.

Tinubu urged the Independent National Electoral Commission (INEC), security agencies, political parties and voters to ensure peaceful and credible elections in Ekiti and Osun states, warning that democracy suffers whenever citizens lose confidence in the electoral process.

Addressing young Nigerians, the president encouraged them to build their future at home rather than seeking opportunities abroad. He urged the youth to innovate, create businesses, participate in governance and contribute actively to national development.

On security, Tinubu acknowledged growing concerns over recent kidnappings and insecurity, including the abduction of schoolchildren in Oyo and Borno states. He stressed that democracy cannot thrive without security and assured Nigerians that his administration remains committed to protecting lives and property.

The president disclosed that the Federal Government had declared a security emergency and approved the recruitment of more than 50,000 police officers alongside thousands of military personnel to strengthen the country’s security architecture.

He further revealed that the 2026 Budget allocates N5.41 trillion to defence and security, describing it as the largest security allocation in Nigeria’s history.

Providing updates on counter-terrorism efforts, Tinubu said Nigerian security forces have significantly degraded terrorist operations across the country. He noted that troops recently destroyed an ISWAP command centre in Arege, Borno State, while terror-related deaths have reportedly declined by 81 per cent since 2015.

According to the president, more than 13,000 terrorists have been neutralised within the past year, while over 124,000 insurgents and their dependants have surrendered through the government’s Operation Safe Corridor deradicalisation programme since 2023.

READ ALSO:

Tinubu warned bandits, kidnappers and sponsors of terrorism to either surrender or face decisive military action, stressing that the government would show no mercy to individuals who continue to threaten national peace and security.

Reflecting on the significance of June 12, the president paid tribute to the late Chief Moshood Kashimawo Olawale Abiola, widely recognised as the winner of the annulled June 12, 1993 presidential election, and his wife, Alhaja Kudirat Abiola.

He also honoured several pro-democracy activists and national figures whose sacrifices contributed to the restoration of democratic governance in Nigeria. Among those recognised were Chief Gani Fawehinmi, Chief Bola Ige, Chief Alfred Rewane, Pa Abraham Adesanya, Chief Anthony Enahoro, Dr Beko Ransome-Kuti, Frank Kokori, Shehu Musa Yar’Adua and many others.

The president said the greatest tribute Nigerians can pay to the heroes of June 12 is to strengthen democratic institutions, uphold justice, protect freedoms and create opportunities for citizens.

On the economy, Tinubu defended the reforms introduced by his administration since assuming office in 2023, insisting that they were necessary to rescue the country from fiscal instability and restore investor confidence.

According to him, the reforms have improved public finances, increased federation revenues, enhanced fiscal transparency and attracted investments into critical sectors such as agriculture, energy, technology, manufacturing, mining and transportation.

The president noted that Nigeria’s domestic refining capacity has expanded significantly, helping to improve energy security and reduce dependence on imported petroleum products.

Tinubu also highlighted efforts to reform the electricity sector, which he described as one of the most challenging areas inherited by his administration.

He said the signing of the Electricity Act has empowered states to generate, transmit and distribute electricity independently, while the Presidential Power Sector Task Force is working to address the country’s metering deficit and settle legacy debts within the power sector.

The president revealed that the Rural Electrification Agency, with support from the World Bank and the African Development Bank, has expanded off-grid and mini-grid electricity projects to underserved communities, universities, hospitals and markets nationwide.

On infrastructure and agriculture, Tinubu disclosed that the National Agricultural Development Fund is implementing a plan to deploy 10,000 tractors over five years to boost food production and agricultural productivity.

He also announced that more than 1,000 small and medium-sized enterprises (SMEs) have been certified for exports, while Nigeria’s non-oil exports grew by 21 per cent in the past year.

Despite these gains, the president admitted that many Nigerians continue to face economic hardship and rising living costs. He said his administration remains focused on reducing inflation, creating jobs, increasing food production and improving living standards.

Tinubu reiterated his support for financial autonomy for Nigeria’s 774 local government councils, arguing that effective grassroots governance is critical to national development and security.

According to him, the collapse of local governance structures over the years contributed significantly to insecurity and underdevelopment in many communities.

In a major highlight of the address, the president announced national honours for dozens of pro-democracy activists, journalists, politicians and civil society leaders who played significant roles in Nigeria’s democratic struggle.

Among those listed for national recognition were Joe Okei-Odumakin, Richard Akinnola, Debo Adeniran, Niran Malaolu, Femi Aborisade, Babajide Kolade-Otitoju, Gbemiga Ogunleye, Muyiwa Adekeye, Ike Okonta and several others.

Tinubu also recognised a number of military officers who supported the June 12 democratic struggle and announced that the honours list would be formally released in the coming days.

Additionally, the president approved the renaming and revitalisation of the completed Institute of Petroleum Studies in Kaduna as the General Shehu Musa Yar’Adua University of Geological Sciences and Engineering Technology in honour of the late military officer and pro-democracy advocate.

Concluding his address, Tinubu urged Nigerians to reject division, despair and cynicism, and instead embrace unity, hope and national purpose.

He said the generation that fought for June 12 secured political freedom for Nigeria, while the responsibility of the current generation is to secure economic prosperity and ensure democracy delivers tangible benefits to every citizen.

“June 12 reminds us that Nigerians do not break. We bend, we bleed, but we do not break,” the president said.

He called on citizens to renew their commitment to democracy and work together towards building a united, prosperous and secure nation.

Democracy Day: Tinubu Unveils Security, Economic Plans, Honours June 12 Heroes

Loading

Continue Reading

News

Full Text of President Bola Ahmed Tinubu’s Democracy Day Address

Published

on

Full Text of President Bola Ahmed Tinubu’s Democracy Day Address
President Bola Ahmed Tinubu

Full Text of President Bola Ahmed Tinubu’s Democracy Day Address

Fellow Nigerians

Today, we celebrate democracy and the enduring Nigerian spirit. For 27 unbroken years, since May 29, 1999, Nigerians have chosen their leaders through the ballot, witnessed peaceful transitions of power, and resolved disagreements in courtrooms and legislative chambers—not through violence. We have experienced the longest stretch of civilian rule in our history. Our democracy is not perfect, but it is ours, and we must continue to defend and strengthen it.

In the coming days, Ekiti and Osun States will hold elections. I urge INEC, security agencies, and all parties to ensure these polls are peaceful and credible. Democracy fails when citizens doubt the process. To our National Assembly, Judiciary, the Press, and Civil Society: you are the guardrails of our republic. Criticise me, disagree with me, but never stop believing in Nigeria.

To our young people: Nigeria is your home and your future. Build here, code here, work here, and vote here. Every great nation was built by those who stayed to solve problems, not by those who abandoned ship.

To our armed forces, police, and intelligence services: Nigeria salutes your sacrifice. To our traditional rulers, faith leaders, and community heads: thank you for your support of peace and reconciliation. The government cannot do it alone.

Today, we honour the resilience of Nigerians who refused to surrender their faith in freedom, and the courage of those who stood firm against intimidation. We pay tribute to patriots who endured persecution, imprisonment, exile, and even death so that future generations could enjoy democracy. I salute labour leaders, journalists, activists, students, women, professionals, political leaders, and soldiers—both those who have passed and those still with us—for their patriotic contributions.

Though this year’s mood is dampened by the abduction of our children in Oyo and Borno, we remain hopeful for their safe return. Democracy without security is not solid enough. That is why this administration declared a security emergency and approved the recruitment of more than 50,000 new police officers and thousands of military recruits. Our 2026 budget commits N5.41 trillion—our largest ever—to defence and security. Our administration is ever ready to do much more to secure our people.

We have moved from training with our allies, the United States, France and other European countries, to precision targeting. In Arege, Borno State, we degraded ISWAP’s command centre. Terror-related deaths are down by 81% since 2015. Over 13,000 terrorists have been neutralised in the past year. But we also keep the door of surrender open. Over 124,000 fighters and dependents have laid down their arms since 2023 through Operation Safe Corridor.

To bandits, kidnappers, and sponsors of terror: Surrender or face the full force of the Nigerian State. These windows of surrender will not remain open forever. No mercy will be shown to those who trade in the blood of Nigerians.

READ ALSO:

At a time like this, let us not assign blame or point fingers. Crime has no ethnicity. We must stand united and be assured that the enemies of our nation shall soon be history. We will triumph over terror and continue to build a more prosperous nation.

June 12 occupies a sacred place in our national memory. It represents more than an election; it is a defining chapter in our story. We remember Chief M.K.O. Abiola, who won a pan-Nigerian mandate transcending ethnicity and religion. We remember Alhaja Kudirat Abiola.

Full Text of President Bola Ahmed Tinubu’s Democracy Day Address

Loading

Continue Reading

Trending