DISCUSSION PAPER Anti-Corruption was the declared number one policy aim of the Olusegun Obasanjo administration. The success of this policy was, however, for various reasons not too impressive. Obasanjo's successor, President Umaru Yar'Adua came to power promising to reform and continue the anti-corruption policy. But while the anti-graft agencies continued to arrest and arraign more individuals, including highly placed officials, for corruption, the general public expressed the view that the fight against corruption became increasingly inefficient under Yar'Adua. This paper shows that the positive measures taken by the Yar'Adua government were overshadowed by other observed lapses. The first one has been that the government was patronizing some ex-public officials accused of corruption by the EFCC, especially former governors, who played key roles in his election. Secondly, Yar'Adua also presided over the purge and persecution of popular anti- corruption crusaders, especially Nuhu Rubadu, the former chairman of the EFCC. Thirdly, President Yar'Adu was not forceful enough, notably in his speeches, with his anti-corruption program. For the incoming administration, the paper recommends to make anti-corruption a strong priority and to reduce political intereference in the work of anti-corruption agencies. Foreword “Nigerians agree that corruption in public Abuja and Lagos. Our main working life, which was pronounced under areas are: Supporting democracy and its military rule, has reached alarmingly institutions, strengthening the Nigerian pandemic proportions, and should now labour movement and worker‟s rights, be a matter of very serious and pressing and supporting the debate on Nigeria in public policy concern.” Unfortunately, the international relations. often-quoted statement by the Oputa Part of our mission is to supply quality Panel is still relevant today, many years analysis on timely subjects to strengthen after the drafting of the report. a critical public assessment of pressing Corruption is recognized as a grave policy issues. We therefore initiated the national problem. Virtually all sectors of “FES Discussion Paper” series, which will policy and society are affected by it. It tackle timely and policy-relevant hampers or interrupts the delivery of subjects. I am particularly glad to present basic services to the people, disrupts this first Discussion Paper on “Anti- education and endangers the safety and corruption efforts under the Obasanjo security of every single citizen. and Yar‟Adua presidencies”, which Corruption is a problem in Nigeria, but includes recommendations for the not exclusively a Nigerian problem, as incoming President, after the 2011 the involvement of foreign companies elections. The author, David like the IOCs, infrastructure companies Enweremadu, takes a critical look at anti- like Siemens or Halliburton, and the corruption policies under both past complicity of numerous foreign banks administrations. His assessment shows shows. However, only if decisive steps progress, but much work left to be done. are taken by institutions of the Nigerian More dedication and policy coherence is state can corruption be effectively needed to buttress the fight against battled. corruption. Specifically, after analyzing The Friedrich-Ebert-Stiftung (FES) is a the anti-corruption policies of the past, German independent, non-profit the author suggests to: (1) Make anti- organisation committed to the values of corruption a top priority for any incoming social democracy. We operate in Nigeria government; (2) avoid any political since 1974 and entertain offices in interference into the work of anti- 1 corruption agencies and strengthen their specifically to policy-makers, media operational capacity; and to (3) address representatives, labour and civil society the role of complimentary institutions activists. besides the EFCC and ICPC in the fight against corruption. Thomas Mättig I recommend this policy paper to all who Resident Representative, FES Nigeria struggle for a corruption-free Nigeria, Abuja, October 2010 2 INTRODUCTION changes in Nigeria‟s fledging campaign against corruption. These changes On May 29 2007, President Umaru included shake-up in the leadership of Yar‟adua was sworn into office as the Economic and Financial Crimes Nigeria‟s third democratically elected Commission (EFCC), Nigeria‟s most President. Although his victory was widely powerful anti-corruption agency; expected, the April 2007 presidential increased emphasis on respect for the elections were still viewed with anxiety in fundamental human rights of accused local and international circles as to the persons and greater respect for rule of future direction of the reform policies law and due process. This paper reviews started by President Olusegun Obasanjo. these major changes that have taken Many concerns were raised concerning place in fight against corruption in the future of Obasanjo‟s campaign Nigeria since the departure of the against corruption. These quickly Obasanjo administration in May 2007, disappeared when Yar‟Adua, Obasanjo‟s with a view to determining what factors anointed candidate, was proclaimed the triggered them and how significant they winner of the presidential elections. have been. First, a brief account of how Immediately after this, Yar‟Adua gave the war against corruption developed indication that his administration under President Olusegun Obasanjo intended not only to continue with the (1999-2007) will be provided. After that, war against corruption, but that major we will look at some important changes reforms would be introduced in the anti- that took place in the campaign against corruption war to correct perceived corruption, especially with respect to the lapses. management and operations of the two major national anti-corruption agencies, Exactly three years after he took office, Independent Corrupt Practices and Other President Umaru Yar‟adua passed on, Related Offences Commission (ICPC) and following a protracted illness, paving the EFCC, under the administration of way for the emergence of his deputy, President Umar Yar‟adua, with a view to Goodluck Jonathan, as President and showing how they impacted on the war Commander-in-Chief. Although President against corruption. The major aim of this Yar‟Adua was in office for less than three study was to identify the key lessons that years, his reign still witnessed significant could be learnt by stakeholders, 3 especially the incoming administration At the domestic level, Obasanjo‟s anti- expected after the 2011general corruption drive was propelled by an elections. In other words, this paper also unprecedented disclosure of evidences suggests areas where further reforms of corruption perpetrated by his are required in order to strengthen these immediate predecessors, especially the institutions, and how any observed late General Sani Abacha, who ruled loopholes in Yar‟Adua‟s corruption fight Nigeria from 1993 to1998. After his could be avoided, in order to make the death in 1998, his successor, General war against corruption in Nigeria more Abdusalami Abubakar, launched a probe effective in the post-2011 era. into his financial dealings. These investigations uncovered large evidences GENESIS OF NIGERIAN„S ANTI- showing that Abacha and his collaborators had diverted billions of CORRUPTION CAMPAIGN dollars in public funds into several local and overseas bank accounts, while also Ever since Nigeria‟s First Republic corruptly acquiring choice properties in collapsed in July 1966 amid allegations many locations within and outside the of massive corruption, the fight against country. Public call for a strong anti- corruption has developed into an corruption stance by the newly elected important public policy issue. But current civilian government was further fuelled steps taken towards a corruption-free by the caution with which General society in Nigeria are mainly a result of Abubakar treated those indicted by his the efforts of the Obasanjo regime, which probe. Apart from seizing a few assets for eight years erected it as a major held within Nigeria, publishing a list of policy priority1. The elevation of dozens of foreign bank accounts used to corruption to an urgent national issue by stash looted funds and writing letters to Obasanjo was itself motivated by a some foreign governments urging them combination of some domestic and to support efforts to recover assets kept global developments. within their territories, the regime refused to undertake any serious anti- corruption measures. It made little or no 1 J. O. Magbadelo, Nigeria‟s Transition to tangible effort in recovering Abacha‟s Democracy and Development: Contributions of the Obasanjo Administration, Ibadan, Spectrum Books estimated $4-6 billion overseas assets. Limited, 2006. P.46. 4 Also, the issue of corruption by other administration4. Ultimately, many past regimes, including assets looted Nigerians felt that a democratic under those regimes, was never raised. administration would be more suited to More worrisome, throughout his tenure fight corruption. in office, the Abubakar regime resisted public pressures to put any member of At the global level, the war against the Abacha government on trial for corruption was motivated by a genuine corruption, because “there was no desire to correct Nigeria‟s frequent evidence of sufficient strength” to try appearance at the top of the table of the anyone2. world‟s most corrupt nations. Between 1999 and 2003, Nigeria occupied either The administration‟s