ICAN 2015 Annual Report

CONTENTS

Vision Statement 3 Notice of Meeting To be a leading global 4 professional Officers and Council body. 5 Past Presidents

Mission 6 Statement President’s Statement To produce 20 world-class Reports of Committees of Council « MEMBERSHIP AFFAIRS chartered « ICAN MEMBERS’ BENEVOLENT & EDUCATIONAL TRUST FUND accountants, « ANNUAL ACCOUNTANTS’ CONFERENCE « ASSOCIATION OF ACCOUNTING TECHNICIANS regulate and WEST AFRICA continually « MEMBERS’ EDUCATION AND TRAINING COMMITTEE « RESEARCH, TECHNICAL AND PUBLIC POLICY enhance their « PROFESSIONAL PRACTICE MONITORING COMMITTEE « FACULTIES ethical standards « STUDENTS’ AFFAIRS DIRECTORATE and technical « STUDENTS’ SPECIAL PROJECT « PROFESSIONAL EXAMINATIONS competence « LEGAL SERVICES « PUBLICATIONS AND IMAGE in the public « FINANCE & GENERAL PURPOSES COMMITTEE interest.

44 Financial Statements

THE INSTITUTE OF CHARTERED ACCOUNTANTS OF NIGERIA THE INSTITUTE OF CHARTERED ACCOUNTANTS OF NIGERIA 2015Annual Report & Financial Statements 2 2015Annual Report & Financial Statements 3 NOTICE of Meeting

51ST ANNUAL GENERAL MEETING

NOTICE IS HEREBY GIVEN that the 51st Annual General Meeting of The Institute of Chartered Accountants of Nigeria will take place at Shell Hall, Muson Centre, Onikan, Lagos on Friday, May 27, 2016 at 10.00 a.m. to transact the following business:-

AGENDA

1. To adopt the minutes of the Annual General Meeting held on May 27, 2015.

2. To receive the Annual Report of Council, Financial Statements for the Year ended December 31, 2015 and the Auditor’s Report thereon.

3. To ratify the Council decision on Registration of Firms and fee payable.

4. To elect members of Council.

5. To appoint the Auditors and authorise the Council to fix their remuneration.

By order of the Council

ROTIMI A. OMOTOSO, MBA, FCA Registrar/Chief Executive

Dated this ...... 4th ...... day of May 2016.

THE INSTITUTE OF CHARTERED ACCOUNTANTS OF NIGERIA (Established by Act of Parliament No.15 of 1965) OFFICERS & COUNCIL 2015–2016 President Samuel Olufemi DERU (Otunba), FNIM, JP, FCA (2002) Vice President Titus Alao SOETAN (Deacon), FCA (2004) 1st Deputy Vice President Isma’ila Muhammadu ZAKARI (Alhaji), mni, BSc, FCA (2004) 2nd Deputy Vice President Razak JAIYEOLA (Alhaji), BSc, FCA (2005) Immediate Past President Chidi Onyeukwu AJAEGBU, FCS, MBF, FCA (2001) Honorary Treasurer Tayo PHILLIPS, MBA, FCA (2005, 2014) Members Oyemolu Olugbenga AKINSULIRE (Chief), MSc, MBA, FNIM, FCA (2013) Davidson Chizuoke Stephen ALARIBE (Chief), MA, CFA, MNIM, FCA (2012) Deji AWOBOTU, M.IoD, FCA (2015) Ibrahim Madugu Abdullahi BABAYO, FCA (2014) Sunday Abayomi BAMMEKE, BSc, FCA (2004) Adaku Chilaka CHIDUME-OKORO (HRM), BSc, MSc, FCA (2009) Uchenna Ifesinachi EROBU (Mrs.), MBA, FCA (2007) Comfort Olujumoke EYITAYO (Mrs.), mni, FCA (2007) Tijjani Musa ISA (Mallam), BSc, M.IoD, FCA (2009) Nasiru MUHAMMAD (Hon.), BSc, MSc, FCIT, FCA (2014) Sylvester Chukwudi NWANNA, MSc, MBA, FCA (2015) Ngozi Monica OKONKWO (Lady), MSc, ACIB, FCA (2011) Nnamdi Anthony OKWUADIGBO (Mazi), BSc, FCA (2007) Innocent OKWUOSA, MSc, ACIB, FCA (2011) Onome Joy OLAOLU-ADEWUYI (Mrs.), BSc, MSc, FCIB, FCA (2007) Tajudeen Olawale OLAYINKA, BSc, MBF, FCA (2014) Sam Onyebuchi ONUKWUE, MBA, MSc, FCS, FCA (2014) Etofolam Felix OSUJI (Dr.), mni, MSc, FCTI, FCA (2014) Hilda Ofure OZOH (Mrs.), MBA, ACIT, FCA (2014) Hart Wahab Odafen OZOYA (Rev.) MBA, ACS, FCA (2013) Oyebowale Rafiu RAJI,BSc, FCA (2014) Queensley Sofuratu SEGHOSIME (Alhaja), mni, MBA, FCA (2014) Samuel UKURA, FCA (2014) Haruna Nma YAHAYA (Alhaji), BSc, MBA, ANIM, FCA (2011, 2014)

Registrar/Chief Executive Rotimi A. OMOTOSO, MBA, FCA Joint Auditors PriceWaterhouseCoopers (Chartered Accountants) UHJ Maaji & Co. (Chartered Accountants)

THE INSTITUTE OF CHARTERED ACCOUNTANTS OF NIGERIA THE INSTITUTE OF CHARTERED ACCOUNTANTS OF NIGERIA 2015Annual Report & Financial Statements 4 2015Annual Report & Financial Statements 5 Past PRESIDENTS

THE ASSOCIATION OF ACCOUNTANTS IN NIGERIA

(The Forerunner of the Institute) 1960 – 1961 Akintola WILLIAMS, CBE, CFR, B.Com., FCA 1961 – 1962 Akintola WILLIAMS, CBE, CFR, B.Com., FCA 1962 – 1963 Frank Cuthbert Oladipo COKER, CFR, B.Com., FCA (Deceased) 1963 – 1964 Frank Cuthbert Oladipo COKER, CFR, B.Com., FCA (Deceased) 1964 – 1965 Frank Cuthbert Oladipo COKER, CFR, B.Com., FCA (Deceased)

THE INSTITUTE OF CHARTERED ACCOUNTANTS OF NIGERIA

1965 – 1966 Frank Cuthbert Oladipo COKER, CFR, B.Com., FCA (Deceased) 1966 – 1967 Ephraim Adekunle OSINDERO (Otunba), MON, FCA (Deceased) 1967 – 1968 Herbert William BOND, FCA (Deceased) 1968 – 1969 Zacchaeus Oludayo OSOSANYA, FCA (Deceased) 1969 – 1970 Alfred EHREN, FCA 1970 – 1971 Felix Bankole CARDOSO, FCA (Deceased) 1971 – 1972 Emmanuel Ayodele ODUKOYA (Archdeacon), FCA (Deceased) 1972 – 1973 Musliu Olaiya ANIBABA (Chief), FCA 1973 – 1974 Vincent Obajimi Adebisi OGUNBA, FCA (Deceased) 1974 – 1975 Julius Akinyokun OWOSENI (Chief), FCA (Deceased) 1975 – 1976 Michael Adepoju ADEYEMO (Prof.), MSc (Econs.), FCA (Deceased) 1976 – 1977 Cecil Oyeniyi Olurotimi OYEDIRAN, BSc (Econs.), MFR, FCA 1977 – 1978 Anthony Asuquo ANI (Chief), MON, FCA 1978 – 1979 Arthur Christopher Izuegbunam MBANEFO (Chief, Amb.), (Odu III), MFR, CON, FCA 1979 – 1980 Joseph Akintunde Alaba ADEBAYO (Prince), FCA 1980 – 1981 John Adepoju BALOGUN (Sir), FCA (Deceased) 1981 – 1982 Idris Onaolapo SULAIMON (Alhaji), FCA 1982 – 1983 Olusola FALEYE (Chief), FCA 1983 – 1984 Dolanimi Babafemi Olabamidele OGUTUGA, FCA 1984 – 1985 Johnson Kayode Osiyemi OSINAIKE, FCA (Deceased) 1985 – 1986 Adedoyin Olayide OGUNDE (Otunba), FCA (Deceased) 1986 – 1987 Samie Aremu WILLIAMS, FCA (Deceased) 1987 – 1988 Johnson Olaobaju Olabisi OMIDIORA (Balogun), BSc, OON, FCA 1988 – 1989 Ebenezer Folorunsho OKE (Chief), BSc, FCA (Deceased) 1989 – 1990 Bola KUFORIJI-OLUBI (HH, Otunba Ayora, Dr.) BSc, OON, FCA 1990 – 1991 Michael Ayodeji ONI, BSc, FCA 1991 – 1992 Cornelius Oladipupo Sunday OSENI, BSc, FCA (Deceased) 1992 – 1993 Oluwole Alani ADEOSUN (Chief), BSc, OON, FCA (Deceased) 1993 – 1994 Ismaila USMAN (Mallam), FCA 1994 – 1995 Olutoyin Olusola OLAKUNRI (Chief, Mrs.), OFR, FCA 1995 – 1996 Simeon Olusola OGUNTIMEHIN (High Chief, Sir), OON, FCA 1996 – 1997 Emmanuel Itoya IJEWERE, FCA 1997 – 1998 Agnes Adenike ADENIRAN (Princess), FCA 1998 – 1999 Ike NWOKOLO (Sir), OFR, KSC, FCA 1999 – 2000 Adeboye Olugboyega BADEJO (Chief), FCA 2000 – 2001 Herbert Adewole AGBEBIYI, FCA 2001 – 2002 Ugochukwu Stephen NWANKWO (Chief), MON, FCA 2002 – 2003 Felix Kolawole BAJOMO (Senator, Chief), mni, FCA 2003 – 2004 Jaiye Kofolaran RANDLE (Bashorun), CFR, FCA 2004 – 2005 Ibironke Mojisola OSIYEMI (Mrs.), FCA 2005 – 2006 Abdul Lateef Adebayo OWOYEMI (Alhaji, Otunba), FCA 2006 – 2007 Catherine Ginikanwa OKPAREKE (Chief, Dr., Mrs.), mni, B.A, MBA, D(Lit.), MNIM, FCA 2007 – 2008 Adebajo Abiodun BABINGTON-ASHAYE (Prince), FCA (Deceased) 2008 – 2009 Richard Uchechukwu UCHE (Chief), PhD, FCA 2009 – 2010 Elizabeth Omeresan ADEGITE (Chief, Mrs.), BSc, MBA, FCA 2010 – 2011 Sebastian Achulike OWUAMA (Major-General retd.), BSc, FCA 2011 – 2012 Francis OJAIDE (Professor), MSc, PhD, OON, FCA 2012 – 2013 Adedoyin Idowu OWOLABI, BSc, MILR, FNIM, FCA 2013 – 2014 Kabir Alkali MOHAMMED (Alhaji), mni, FCIS, CGMA, MFR, FCA 2014 – 2015 Chidi Onyeukwu AJAEGBU, FCS, MBF, FCA (IPP)

THE INSTITUTE OF CHARTERED ACCOUNTANTS OF NIGERIA THE INSTITUTE OF CHARTERED ACCOUNTANTS OF NIGERIA 2015Annual Report & Financial Statements 6 2015Annual Report & Financial Statements 7 PRESIDENT’s Statement

ECONOMIC REVIEW IN 2015 the pressure on Naira, our local currency, Business activities were largely slow for the better part of the year 2015 due to istinguished professional colleagues, ladies and uncertainties around the general economic policy. It was in the gentlemen, it is my great pleasure to welcome you same year that the price of the nation’s main economic export all to the 51st Annual General Meeting of our Institute product, crude oil, drastically experienced downward trend in and to present my stewardship report for 2015/2016 the international market as a result of decrease in demand for presidential year as well as the Institute’s audited the commodity by USA and other major buyers. The price which financial statements for the year ended December 31, 2015 for stood at an average of $112 per barrel in June 2014 slipped Dconsideration and approval. down to $35 per barrel in December 2015 which was far below I shall begin this presentation with a review of the economic the budget benchmark of $53 per barrel for 2015. environment in which the Institute operated during the presidential Consequently, the period under review witnessed the price of year. dollar to naira stooping to the forces of demand and supply. In view of the direct relationship of price of crude oil to both foreign exchange earnings of a country and its foreign reserve, the Central AN OVERVIEW OF THE ECONOMY Bank of Nigeria (CBN) introduced restriction on imports of certain It would probably take someone outside the economy to goods and access to foreign exchange to keep the demand for assure Nigerians that the economy would only experience foreign exchange under control. Yet the sliding price of naira in a turbulent time, but would not collapse. The year 2015 was, the foreign market did not abate. The inability of some companies indeed, turbulent going by the avalanche of challenges that to source input from outside the country and the attendant impact faced it. The usual apprehension that characterises Nigeria’s on their outputs and jobs creation had dampening effect on the elections; the drastic drop in oil price in the international market exchange rate and by implication, economic growth. The naira/ coupled with the imbalance already created by the insurgency in US dollar rate rose to N365 in the parallel market, whereas, the the North East zone all rolled into being the highest determining official rate remained at N197. As crude oil prices fell, the gap factors of stability in the country. The combined factors of between the interbank and the parallel market foreign exchange decaying infrastructure, foreign exchange crisis, lack of inflow rates widened. Since February 2015, the two rates which were of foreign investment, over dependence on crude oil revenue, relatively close until mid-2013 set on a strong divergent path with policy inconsistency created unstable environment for economic the parallel market rate being about 50% higher than the official growth. Investors were not sure where the pendulum was going rate. Pressure has been put on government to devalue the naira. to swing and had to withdraw their funds from the bank and Opinions are divided on the issue, however as professionals, we converted them into foreign currencies thereby exacerbating support policies which will lead to economic growth with minimal

President Muhammadu Buhari pose with ICAN President, Otunba Olufemi Deru and the ICAN team during their visit to Buhari in Aso Rock

social hardship to the citizens. The current state of infrastructure still leaves much to be desired. Power supply improved slightly as soon as the new administration was sworn in; only for it to go down two months later. Yet, the distribution companies (DISCOS) were bent on increasing tariff without corresponding improvement in the power supply. That situation affected ICAN President and his entourage with Nigeria’s Vice President, Prof. Yemi Osinbajo during a courtesy call by ICAN the running cost and capacity utilisation of majorly of the manufacturing industries. last twelve months, the Institute was favourably mentioned in Ultimately, the nation’s GDP was denied the expected contribution the mass media. This media attention, we believe, has helped from that sector. significantly to enhance the goodwill and project the image of It is noteworthy that the government has introduced various the Institute. measures to plug the leakages in its revenues. One remarkable example is the Treasury Single Account (TSA). We support COURTESY VISIT TO THE PRESIDENT OF THE the implementation of the policy. The policy, without doubts FEDERAL REPUBLIC OF NIGERIA has several teething problems and we are hopeful that the Shortly after the opening ceremony of the 45th Annual initial problems will be overcome. We therefore call on relevant Accountants Conference, the President, Commander-In-Chief, stakeholders to support the government’s initiative to ensure that Muhammadu Buhari, GCFR, hosted a 25-man delegation of the the benefits of TSA are actualised. Institute, led by my humble self, at the presidential villa. During The call for the diversification of the economy cannot come the visit, a number of issues of national interest were discussed. at a better time than now when the nation is undergoing several I had the opportunity to present the communiqué of the 2015 economic and developmental problems. As professionals, we call FGN’s budget symposium to the nation’s president. on the government to look inward and unlock the opportunities in the Micro, Small and Medium Enterprises (MSMEs) which COURTESY VISIT TO THE VICE-PRESIDENT OF THE have been globally acknowledged as the engine of growth. This FEDERAL REPUBLIC OF NIGERIA is apt because of its capacity to create jobs, boost production On Tuesday, July 28, 2015, I led a delegation of members in manufacturing and Agriculture and diversify the economy. of the Institute’s Presidency and some Council members on a I am delighted that the mineral industry is coming to life. We courtesy visit to the Vice President of Nigeria, Professor Yemi urge government to urgently come up with the relevant white- Osinbajo, SAN, GCON at the Presidential Villa, Abuja. It was paper for the mineral industry and consider this together with the at this meeting we finalised our invitation to the Vice-President Petroleum Industry Bill (PIB) now before the National Assembly. as a special guest of honour to the 45th Annual Accountants’ From the foregoing, we are persuaded that there exists Conference. great hope for economic prosperity of our dear nation if the While recalling his relationship with the Institute as an fundamentals in terms of leadership, business-friendly policies, Assessor for the Law Examination sessions over two decades, provision of infrastructural facilities, fight against corruption and the Vice-President commended the Institute on its Disciplinary insecurity are put properly in place. procedures which enforce the compliance by members to the ethical standards guiding their professional conduct.

IMAGE OF THE INSTITUTE 45th ANNUAL ACCOUNTANTS’ During the period under review, we reinforced the existing CONFERENCE/50th ANNIVERSARY cordial relationship between the Institute and governments at The 45th edition of Annual Accountants’ Conference took place all levels, key players in the mass media and the users of our at the International Conference Centre and Sheraton Abuja Hotel, services. I organised series of press interviews, paid scheduled Abuja between the 31st of August and 4th of September 2015. visits to both the print and electronic media as well as invited The conference coincided with the 50th Anniversary of our great gentlemen of the press to the Institute’s events. I also visited institute, having received, its enabling Act of Parliament No.15 of many of the Institute’s stakeholders including tertiary institutions, 1965, on the 1st of September 1965. The international conference regulatory agencies and corporate bodies. In many weeks in the was declared open on Tuesday, 1st September 2015 by His

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Excellency, President Muhammadu Buhari, GCFR, Commander- on Thursday, June 18, 2015. I was also at SIAO Roundtable in-Chief of the Armed Forces, Federal Republic of Nigeria, ably Evening held on Tuesday, June 23, 2015 at Four-Point Sheraton represented by Mrs. Anastasia Mabi Daniel-Nwobia, Permanent Hotel, Lekki, Lagos. The theme for the Roundtable,“Growing Secretary, Federal Ministry of Finance. A total number of 3,758 the Nigerian Economy in this New Era” was delivered by a delegates including invited guests and resource persons drawn renowned Economics Analyst and Consultant, Mr. Bismarck from Africa, Europe and America attended the conference. Rewane with other discussants and guests in attendance. It is instructive to mention that three serving State Executive Governors graced the occasion with their physical presence. They Bell University of Technology Maiden Inaugural Lecture were the Executive Governor of Gombe State, His Excellency, I was represented by Mr. Abayomi Bammeke, B.Sc., Alhaji.) (Dr Ibrahim Dankwambo, FCA; the Executive Governor of FCA, Council Member at an inaugural lecture held at Bell Lagos State, His Excellency, Mr. Akinwummi Ambode, FCA; and University of Technology Ota, Ogun State titled “Food Product the Executive Governor of Ogun State, His Excellency, Senator Development, Quality Assurance and Nutrition: Whither Ibikunle Amosun, CON, FCA,. the Human Senses?”. Goodwill messages were The lecture was delivered received from the Special by the Dean, College of Guest of Honour, President Food Sciences, Professor Muhammadu Buhari, Olugbenga Ben Ogunmoyela. GCFR. Ms. Olivia Kirtley, President of the International International Conference Federation of Accountants on Insolvency (IFAC), Pan Africa Federation The Vice-President of Accountants (PAFA), Deacon Titus Alao Soetan, Association of Accountancy FCA represented me at a two- Bodies in West Africa (ABWA) day International Conference and the Executive Governors on Insolvency with the theme: of Gombe, Lagos and Ogun “Insolvency Best Practices: States. A Case for Reform in There were three plenary Nigeria”. The event, and four workshop sessions organised by the Institute’s during which carefully selected Ogun State Governor, Senator Ibikunle Amosun (left); ICAN President, Board of Insolvency Re- seasoned resource persons Otunba Olufemi Deru; Representative of President Muhammadu Buhari, Engineering Faculty was held drawn from government, Mrs. Anastasia Mabi Daniel-Nwaobia; and Lagos State Governor, Akinwumi at the Ikeja Sheraton Hotel, Ambode at the 45th Annual Accountants’ Conference in Abuja industry, academia and the Lagos. The following papers profession made presentations. In particular, the Conference were presented by both local and international paper presenters: lead paper entitled “Repositioning Nigeria for Sustainable  Insolvency Practice: Opportunities in Emerging Development: From Rhetoric to Performance” was delivered Economies. by His Excellency Professor Yemi Osinbajo, SAN, GCON, Vice-  Encouraging Informal Corporate Workouts through President of the Federal Republic of Nigeria on Day Two due to Alternative Dispute Resolution and other Flexible exigencies of State duties. Business Rescue Tools. I sincerely appreciate not only the large presence of many  Insolvency for Micro, Small & Medium Enterprises Past Presidents at the event, but also for graciously chairing (MSMEs), Using Existing Insolvency Framework the technical sessions and making contributions on the various to Drive Business Recovery in Nigeria. topics of discourse. Thank you all once again. The communiqué  Sustaining Corporate Entities through Debt of the Conference has been widely circulated. Restructuring.

21st Edition of the Nigerian Economic Summit, Abuja PUBLIC SERVICE SEMINARS The 21st edition of the Nigerian Economic Summit with the theme: “Tough Choices: Achieving Competitiveness, Seminars Organised/Attended Inclusive Growth & Sustainability” was held at the Transcorp We have continued to vigorously train our members in all Hilton, Abuja between Tuesday, October 13 and Thursday, areas of professional activity in order to enhance their technical October 15, 2015. I, in company of the Registrar/Chief Executive, competence. In this regard, the Institute organised a seminar on participated at the workgroup session where we discussed: “Starting Your Own Firm” as part of capacity building initiatives “Infrastructure, Agriculture & Food Security.” designed to enable members acquire business management skills to start their own firms. Federal Inland Revenue Service 2016 Annual Retreat I was represented at the 2016 Federal Inland Revenue The CIBN 2015 Annual Lecture & Roundtable Service Annual Retreat by the Vice-President Deacon Titus I honoured an invitation from the Chartered Institute of Bankers Alao Soetan, FCA who delivered my goodwill message as the of Nigeria to its 2015 CIBN Annual Lecture and Roundtable special guest at the event. The retreat with theme: “Optimising which took place at Bankers House, Victoria Island, Lagos Non-Oil Tax Revenue Collection through Compliance and

Enforcement” was held at the Congress Hall of Transcorp Hilton Hotel, Abuja.

2015 Akintola Williams Distinguished Lecture Series I honoured an invitation from the organisers of the 2015 Akintola Williams Distinguished Lecture Series held on Thursday, November 22, 2015 at the Agip Recital Hall, MUSON Centre, Onikan, Lagos. The main paper at the Lecture Series titled “Leadership Factors and Good Corporate Governance: Key to National Growth and Development” was delivered by His

Excellency, J. Kayode Fayemi, nd former Governor of Ekiti State. ICAN 2 Deputy Vice President, Alh. Razak Jaiyeola (left); ICAN Past President, Senator Kolawole Bajomo; Lagos Our Revered Past President State Deputy Governor, Dr. (Mrs.)Idiat Adebule; Emir of Kano, HE. Alh. Lamido Sanusi Lamido; ICAN President, Otunba Olufemi Deru, ICAN 1st Deputy Vice President, Alh. Ismaila Zakari; ICAN Registrar/Chief Executive, Mr. (Balogun) Olabisi Omidiora, Rotimi Omotoso; and ICAN Council Member, Chief Oye Akinsulire at the Budget Symposium in Lagos B.Sc., FCA, the Governor of Ogun State, His Excellency, Senator Ibikunle Amosun, FCA, Members of the Institute attracted a galaxy of distinguished CON and other distinguished guests were also in attendance at personalities, eminent leaders of thought, government policy the event. makers, captains of industry and tested professionals in various fields of endeavour. Akintola Williams Foundation I am delighted to report that the Institute has established Akintola Williams Foundation. Some of the functions and activities ZONAL CONFERENCES of the foundation shall include Annual Lecture to coincide with the doyen’s birthday; award of scholarship; assistance and donation 10th Eastern Districts’ Zonal Conference to well deserving organisations whose aims and objectives are The 10th edition of Eastern Districts’ Zonal Conference in line with the foundation. organised by all the Institute’s District Societies in the Eastern States of the Federation was held in Benin City, Edo State 2015 Annual Dinner & Awards Invitation from the between Monday, July 6 and Thursday, July 9, 2015 with the Chartered Institute of Taxation of Nigeria (CITN) theme: “Managing the Impact of Dwindling Oil Prices: Local I was represented at the 2015 Chartered Institute of Taxation Solutions to Global Challenges”. of Nigeria (CITN) Annual Dinner and Awards, which also featured The four-day event was loaded with activities which included the conferment of Fellowship status on some of its deserving technical sessions, Districts’ meetings, sports and a pre- members. conference cultural night hosted in my honour by Benin & District Society. 2015 FGN Budget Symposium Annually, the Institute organises post budget symposium 10th Western Zonal Districts’ Conference during which it x-rays and analyses the sectorial provisions, The 10th Western Zonal Districts’ Conference, tagged ‘Ijebu fiscal and other policies of the Federal Government’s Budget 2016’, was held from Tuesday, February 16 to Thursday, and their possible implications for productive economic activities February 18, 2016 at the Equity Resort Hotel (former Gateway and strategic impact on the citizenry. In line with this established Hotel), Ijebu Ode, Ogun State. The theme of the zonal conference tradition, the Institute organised a symposium titled “Come Back was “Roadmap to Nigeria’s Economic Recovery: The Roles Nigeria: The Nation’s Fiscal Challenges and Way Forward of Professional Accountants.” The lead paper was delivered for the New Administration.” by. Mr Sunday Ogungbesan, FCTI, former Acting Executive I delivered the keynote address while His Royal Highness, Chairman, Federal Inland Revenue Service. Two (2) plenary Sarkin Kano, Muhammad Sanusi II, CON, and the Special sessions and three (3) workshop papers were presented at the Guest of Honour, the Executive Governor of Lagos State, Mr. three-day event. Akinwunmi Ambode, FCA who was represented by his deputy, Her Excellency, Dr. (Mrs.) Oluranti Adebule made pre-symposium Special Conference Dinner Hosted by the speeches. Ajalorun of Ijebu-Ife The symposium which had some Past Presidents and Council As part of the activities lined up for the zonal conference,

THE INSTITUTE OF CHARTERED ACCOUNTANTS OF NIGERIA THE INSTITUTE OF CHARTERED ACCOUNTANTS OF NIGERIA 2015Annual Report & Financial Statements 10 2015Annual Report & Financial Statements 11 PRESIDENT’s Statement

the Ajalorun of Ijebu-Ife, His Royal The 25th Coronation Anniversary Majesty, Oba Adesesan Oguntayo, of HRM Oba Michael Adeniyi FCA hosted the conference Sonariwo, CON, FCA delegates to a dinner in his palace I was at Sagamu, Ogun State on Saturday, as a show of appreciation and love July 25, 2015 at the instance of His Royal to the delegates who were attending Majesty, Oba Michael Adeniyi Sonariwo, the Zonal conference in Ijebu land. CON, FCA on the occasion of his twenty fifth coronation anniversary held in his palace. Courtesy Visit to the Akarigbo The Institute’s goodwill message and a gift of Remoland were presented by me on behalf of Council. In continuation of the activities outlined for the zonal conference, Courtesy Visit to the Paramount I lead an entourage including the Ruler and Alake of Egbaland committee members of the 10th I also paid a courtesy visit to His Royal Western Zonal Districts’ Conference Majesty, Oba Aremu Gbadebo, OFR, the to pay a courtesy visit to the Paramount Ruler and Alake of Egbaland at Akarigbo and Paramount Ruler of his Ake Palace. I used the occasion to brief ICAN President, Otunba Olufemi Deru (left) with Remoland, His Royal Majesty, Oba Alake of Egbaland, HRM, Oba Adedotun Aremu his Royal Majesty on ICAN’s milestones in Michael Adeniyi Sonariwo, FCA in Gbadebo during ICAN President’s courtesy the last fifty years taking into cognisance its his palace. visit to the monarch Golden Jubilee Anniversary celebration. The Kabiyesi advised the Institute not to shy away 11th Northern Zonal Districts’ Conference from its advocacy roles on issues of national interest. The 11th Northern Zonal District Societies held their Conference, tagged ‘Minna 2016’, from Monday, May 2 to Thursday, May 4, 2016 at the Justice Idris Legbo Kutigi INVESTITURE OF DISTRICT SOCIETIES’ International Conference Centre, Minna, Niger State. The theme of the Conference was “IPSAS Adoption in Nigeria: Implication CHAIRMEN AND INAUGURATION OF on Accountability and Probity”. Alhaji T. Abdulkareem, FCA EXECUTIVE OFFICERS and Professor Kighir E. Apedzan, Ph.D, FCA delivered the two plenary session papers, while the two workshop papers were Ikeja & District Society delivered by Professor Ishola Akintoye, FCA and Mr Joshua I was at the investiture ceremony of Mr. Gbenga Adeyemi Nungomin, FCA. Allhaji Waziri Hassan, FCA, Mr S.O. Adeleye, Adewole, FCA as the 28th Chairman of Ikeja & District Society. FCA. Professor Kabiru Dandago and Alhaji K.A.A. Adigun were The occasion also witnessed the inauguration of the executive the discussants of the plenary sessions and workshop papers members of the district for 2015/2016. respectively. In attendance at the opening ceremony were: the Governor of Niger State, Alhaji Abubarkar Sani Bello as well as Akure & District Society other dignitaries. The Honorary Treasurer of the Institute, Mr Olutayo Philips, FCA represented me at the investiture ceremony of Mr S.O. Adegoke, MBA, FCA as the 24th Chairman and the inauguration of the 2015/2016 Executive Officers of Akure and District Society of the Institute.

Ogbomoso/Oyo & District Society The investiture ceremony of Alhaji Mikail I. Ogundiran, FCA as the 4th Chairman and the inauguration of the 2015/2016 Executive Officers of Ogbomoso/Oyo and District Society of the Institute took place on Saturday, October 10, 2015 at Nest Hotel, Ogbomoso, Oyo State. I was represented at the ceremony by Mr. Olutayo Phillips, FCA, Honorary Treasurer of the Institute.

Ikorodu & District Society On Thursday, December 17, 2015, I was represented by Alhaji Rasak Jaiyeola, B.Sc., FCA, 2nd Deputy Vice-President at the investiture ceremony of Mrs. Moronke Adelegan, B.Sc., ACA, 7th chairman, Eastern Zonal conference, Elder Andy Epie; 1st Executive Deputy Governor Chairman of Ikorodu & District Society and also of Edo State, Rev. (Dr.) Peter Obadan; 51st President of ICAN, Otunba Olufemi Deru and the inauguration of the executive members of the ICAN Vice President, Deacon Titus Soetan at the 7th Eastern Zonal Conference District for 2015/2016.

Society of Women Accountants of Nigeria (SWAN) quality, consistency and transparency. I also stressed on the On Wednesday, November 18, 2015, I was at the Investiture use of technology to drive the processes of governance and of the SWAN Chairperson Alhaja Titilola Akibayo, FCA at a to embark on the process of diversifying the state economy by ceremony held at the Shell Hall, MUSON Centre, Lagos. As you looking at the possibility of driving its revenue generation through are aware, SWAN has been a source of pride to the Institute in proper and efficient tax systems. the vanguard of promoting not only economic empowerment of I made requests to the governor for sponsorship of members women through entrepreneurship training, but also encouraging in its employ to attend the Institute’s training and capacity and assisting young women to become members of the programmes on the essentials of IPSAS and prayed for a piece of disciplined accountancy profession. This body has produced land within the state capital for the construction of the permanent six female past presidents, annually makes donation and award office of Ibadan & District Society. prizes to the Best Female student in the Institute’s final qualifying In his response, Governor Ajimobi thanked us for the visit examinations. In attendance at the ceremony were the immediate and charged the Institute to expand its curriculum to cover Past President, some Past Presidents, Council Members and communication skills and the management of resources rather the Registrar/Chief Executive of the Institute. than focusing on record keeping of financial activities. Governor

VISITS TO DISTRICT SOCIETIES/GOVERNORS As part of the strategies to keep me abreast of members’ performance and adherence to the ethics of the profession, I visited some district societies to enable me ascertain, at first hand the challenges facing our members in their various callings. I used the various opportunities to provide stakeholders located in various locations of the country with current information on emerging professional and economic issues and what the Institute was doing about them. Visits to district societies are usually not complete without a courtesy on the Governor of the host state. In this regard I visited to following state governors: 51st President of ICAN, Otunba Olufemi Deru and his entourage with the Governor of Lagos State, Mr. Akinwunmi Ambode, FCA during a courtesy call by ICAN Ogun/Abeokuta & District Society I paid a visit to the Governor of Ogun State, His Excellency Ajimobi also implored the Institute to evolve ways by which the Senator Ibikunle Amosun, CON, FCA. I used the occasion to visit three tiers of government would benefit from its financial advisory the executive members of Abeokuta & District Society at their services and improve the level of their internally generated 2015 Annual Dinner/Dance held at the banquet hall of Adesiba revenue. Finally, the Governor expressed his commitment Hotel, Abeokuta. The Dinner lecture titled: Education and Job towards the desire of the Ibadan District Society of the Institute Creation: The 21st Century Global Agroneural Prospective for a piece of land in the state capital. Entrepreneurship – Identifying Solutions was delivered by Professor Adeyemi M. Bamgbose of the University of Agriculture, Owerri & District Society Abeokuta, Ogun State. The District’s Annual Dinner & Dance was I had an unscheduled meeting with some members of Owerri chaired by Chief Maxwell Ayinla, FCA, the Asiwaju of Egbaland. & District Society at the instance of Mazi Felix Osuji, mni, FCA, The Royal Father of the night was His Royal Majesty, Oba at the Maranatha Suites, Owerri. At the meeting, the underlisted Olufemi Omolade, the Olubara of Ibara, Abeokuta, Ogun State. issues were brought to my knowledge for action:  The hosting of more MCPE programmes in Owerri; Oyo State  Creation of ICAN office and construction of a lecture After the commissioning of the ICAN Lecture theatre at the theatre at a yet to be named University in Imo State; Polytechnic, Ibadan, I led a delegation to pay a courtesy visit  Issue of non allocation of land to the District Society for on the Executive Governor of Oyo State Senator Abiola Ajimobi the construction of its secretariat as promised by the at the Government House, Agodi, Ibadan on Tuesday, February Executive Governor of Imo State, Owelle Rochas Okocha. 23, 2016. I remarked on the need for government at all levels to In my response, I informed the members that MCPE key into world best practices in the preparation of their respective programmes are structured and hosted in its advertised locations general purpose financial statements by embracing International on need basis. On the request for creation of ICAN office and Public Sector Accounting Standards (IPSAS) which guarantee lecture theatre in a yet to be named University in Imo state, I

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advised the members to channel their request through the the civil service of fraudulent activities such as eliminating the Registrar/Chief Executive to the Council of the Institute. incidence of ghost workers. I also disclosed that the Institute was On the issue of the District’s request to the Executive Governor working on the training of our members on forensic audit and of Imo State, for allocation of a piece of land I requested the investigation as a way of assisting the Federal Government to Chairman of the District to send a letter to the Registrar/Chief track and recover stolen funds looted from the nation’s treasury. Executive for a follow up with His Excellency. In her response, Mrs. Adeosun thanked us for the courtesy visit and resonated the administration’s determination to plug all the financial conduit pipes in the nation’s treasury system in MEETING WITH ICAN ASSESSORS AT order to have positive use of its resources. She explained that in THE INSTITUTE’S DESIGNATED order to unlock the country’s economic potentials and prosperity, MARKING CENTRE, LAGOS the Government is committed to proactively reforming its public finance machinery. One of the distinctive attributes of our Institute is the sanctity She also said that the government has concluded plans on of our examinations since the inception of conducting it. This the introduction of a risk-based internal audit system as a way of laudable achievement is a source of pride to the Institute and implementing adequate internal control processes in its systems accountancy profession in the country. As a way of encouraging and affirmed that efforts are in top gear to present a bill to the the men and women who are contributing to making this a reality, National Assembly on the National Internal Audit Processes and I paid a visit to the Assessors of the Institute’s professional Procedures. examinations for the November 2015 diet and expressed my The Honourable Minister also spoke about efforts being made profound appreciation to the Assessors for their hard work and to strengthen the capacity of small and medium firms through the sacrifices to the growth of the Institute and praised them for their introduction of a programme that will make it compulsory for big steadfastness and commitment.

COURTESY VISITS TO GOVERNMENT PARASTATAL AND OTHER PROFESSIONAL BODIES Courtesy Visit to the Director General, Bureau of Public Procurement As part of the programmes outlined for my official visit to Abuja & District Society for the year, I paid a courtesy visit to the Office of the Director-General of the Bureau of Public Procurement (BPP). I advised its Management team to deploy mechanism which ensures that the quality review of contracts executed does not stop at the pre-project stage but extended to post-project stage to ensure successful implementation.

Invitation from the Attorney-General of 51st President of ICAN, Otunba Olufemi Deru (right); Minister of Finance, Mrs. Kemi Adeosun; and the Federation and Minister of Justice Accountant-General of the Federation, Alhaji Ahmed Idris during a visit to the Minister in Abuja The 1st Annual Conference in Combating Financial Fraud, Cybercrime and other Cross Border Crimes accounting firms to partner with small and medium sized firms as organised by the office of the Attorney-General of the Federation a condition that would ensure eligibility for government business. and Minister of Justice was held at Chelsea Hotel, Abuja. The Mrs. Adeosun affirmed that the programme would yield accruable Vice-President of the Institute, Deacon Titus Alao Soetan, benefits that would ensure transfer of professional knowledge FCA represented me at the event and delivered a paper titled from the big to the small/medium firms. “Have Legal and Regulatory Framework Failed in Stemming Institutional Financial Fraud and Abuse in Nigeria?” Courtesy Visit to the Head of Service of the Federation As part of the Institute’s support for the ongoing institutional Courtesy Visit to the Honourable Minister of Finance reforms by the Federal Government, I paid a courtesy visit, in As a show of support for the current administration’s ongoing company of some members of Council, to the Head of Service economic reform policies, I, in company of some Council of the Federation, Mrs. Winifred Ekanem Oyo-Ita, FCA in her members paid a courtesy visit on the Honourable Minister of office at Abuja. I congratulated her on the recent elevation to the Finance, Mrs. Kemi Adeosun, ACA in Abuja. I commended the position of Head of Service of the Federation and noted that it Honourable Minister and her team for their efforts towards ridding was a well deserved news considering her professional pedigree.

I spoke to her about the Continuing Professional Education and of the Institute either as employees or for consultancy Mandatory Continuing Professional Education programmes as purposes. well as the functions of the Institute’s Faculties. In her response, Mrs. Oyo-Ita appreciated us for the visit and In his response the Accountant-General of the Federation: called on the leadership of the Institute to see the possibility  Acknowledged the uniqueness of the ICAN brand as of partnering with the Federal School of Treasury on areas of topmost brand which cannot be push aside in the nation’s capacity development for the civil service work force especially economy; on the new IPSAS adoption and implementation in Nigeria and  Assured the President that his office will put forward a training on Forensic Investigation. Also, Mrs. Oyo-Ita praised the proposal on the issue of capacity building; leadership of the Institute on the endowment of a Fifty Million  Accepted the ICAN hand of fellowship on technical Naira (N50m) Whistle Blowers Protection Fund and opined this support for IPSAS; and initiative by the Institute will encourage individuals and corporate  Sought the Institute’s technical support for the Federal entities to report issues bothering on fraud and other financial Treasury Academy. vices at all levels of government. I am delighted to report that a joint international conference was organised by the Office of the Accountant-General of the Courtesy Visit to the Registrar General of Corporate Federation (OAGF) and ICAN on IPSAS. Affairs Commission (CAC) In continuation of my official visit to Abuja & District Courtesy Visit to the Executive Chairman, Lagos State Society, I paid a courtesy visit to the Registrar General of the Internal Revenue Service Corporate Affairs Commission (CAC), Alhaji Mustapha Bello. I As part of the Institute’s constructive engagement initiatives, acknowledged the Commission’s immense contributions towards I led a delegation of the Institute to pay a courtesy visit to the the promotion of best practices in corporate governance in the Chairman, Lagos State Internal Revenue Service (LSIRS), Mr. country and also commended its introduction of the Corporate Olufolarin Olukayode Ogunsanwo, at his office in Alausa, Ikeja, Citizens Award to celebrate organisations and entities that comply with statutory requirements in corporate governance which has made most organisations socially responsible and raised the tone of corporate governance in the country. The Commission was urged to empower its enforcement and monitoring mechanisms and ensure that all corporate entities promptly file their returns in line with statutory provisions. I suggested prescribed sanctions like delisting to be applied to entities that are non-compliant.

Courtesy Visit to the Accountant-General of the Federation The courtesy visit to Alhaji Ahmed Idris, FCNA, Accountant-General of the Federation (OAGF) was undertaken on Monday, October 12, 2015. My address premised on the following points:  Consolidating and strengthening the bilateral relationship between the two organisations;  Acknowledging the installation and operations of effective accounting system for effective control of the nation’s finances;  The Institute’s support for the deployment ICAN President, Otunba Olufemi Deru (middle), Registrar/Chief Executive of ICAN, of the e-collection scheme for the prompt Mr. Rotimi Omotoso (right) and Mr. Olufolarin Ogunsanwo, Chairman, Lagos State collection of and accounting for all Internal Revenue Service during ICAN visit to the Chairman government receipts;  Collaboration of the Institute with the office of the Lagos. Accountant General as a way of ensuring undiluted The visit was to consolidate and strengthen the cordial success of the Treasury Single Account (TSA) policy of relationship existing between both institutions and to discuss the Federal government; areas where members of the Institute would be in a better  Maintaining harmonious relationship with the OAGF on position to deplore their professional skills to assist the agency the implementation of IPSAS as a common platform for in its renewed efforts towards the establishment of a tax friendly financial reporting in the public sector; environment in the State. I informed the Executive Chairman  Partnership of the OAGF with the Institute on capacity of the Institute’s readiness to partner with the agency in areas building and other technical areas of IPSAS; and of professional skills development for its members of staff who  Appeal to the OAGF to employ the services of members are members of the Institute either through the Mandatory

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Continuing Professional Education Programme (MCPE) or Continuing Professional Education (CPE).

COURTESY VISITS OF OTHER ORGANISATIONS/CHAPTERS TO MY OFFICE 11th Annual Courtesy Visit to the Council of the Institute by the Executive Members of the Body of Past Presidents The Executive members of this august Body paid a courtesy visit to Council at its meeting of Wednesday, July 29, 2015. Our revered past President and Chairman, Mr. Michael Ayodeji Oni, FCA presented a paper on behalf of this body bordering on the following:  Dwindling Financial Resources of the Institute.  State of the Nation. Members of ICAN led by the 51st President Otunba Olufemi Deru during a visit to the Accountant-General of the Federation, Alhaji Ahmed Idris  Role of Past Presidents of ICAN in its affairs.  The Floating of Accounting Foundation Funds. my office on Tuesday, April 09, 2016 at the Institute’s Secretariat,  Improving the quality of Council decisions. Victoria Island, Lagos.  Examining critically ICAN roles in FRCN, FIRS, ICPC, The Chairperson of the Association said it was traditional for EFCC & other government parastatals and agencies. members of the executive to pay courtesy visit on the incumbent  ICAN contributions to IFAC, PAFA & ABWA. President of the Institute where its executives put forward its  Monitoring of ICAN Faculties & MCPE Programmes. upcoming programmes and other issues that are of importance  Issue of 2014 Council Elections. to the growth of the association within Lagos State civil service  Governance – Competency training for Council members. scheme.  Organising MCPE Programmes for Past Presidents. She solicited my assistance as President towards the Many of these issues were given the deserved attention, realisation of the association’s request for the issuance of MCPE while action has been taken to address others. credit ratings for all its in-house training programmes attended by its members. She equally seized the opportunity to formally Visit by the President of the Chartered Institute of invite me to the Association’s forth coming Annual Public Lecture Taxation of Nigeria (CITN) scheduled to hold on Tuesday, May 17, 2016 at Lagos State The President of the Chartered Institute of Taxation of Secretariat, Alausa, Ikeja, Lagos. Nigeria, Dr. (Mrs) Olateju Somorin, FCTI, led a delegation I thanked the executive members for the courtesy visit and comprising her Institute’s Past Presidents, Council Members assured them of the Institute’s readiness to assist towards and other principal officers on a courtesy visit to the Institute achieving their professional objectives. As regards their request, (ICAN). The CITN President thanked the Council of the Institute I implored the Chairperson to send it to the Registrar/Chief for agreeing to resolve the lingering misunderstanding between Executive for appropriate action(s). both professional bodies in respect of the terms contained in the MOU signed by both parties.She premised other part of her Visit by the Executive Members of the Society of address on the following areas: Women Accountants of Nigeria (SWAN)  Meeting the aspirations and dreams of all stakeholders I played host to the newly elected executive members of the in the Accounting and Tax profession in order to facilitate Society of Women Accountants of Nigeria (SWAN) led by its economic growth in the nation; Chairperson, Mrs. Titilola Akibayo, FCA on Tuesday, September  Exploring further, areas of mutual cooperation and 22, 2015 at the Institute’s Secretariat, Victoria Island, Lagos. The opportunities by both Institutes on matters of Accounting Chairperson of SWAN, at this occasion, solicited for moral and and Tax regarding conferences seminars & workshops; financial support from the Institute towards the achievements of  Continuous implementation and strict adherence to both the Society’s programmes outlined for the period of her tenure. Institutes’ Code of Ethics by members. In my response, I acknowledged the pivotal roles of women in I thanked Dr. (Mrs.) Somorin, FCTI and her team for the visit the social, political and economic development of Nigeria and and assured her of the Institute’s professional support to the assured her of the Institute’s support as always. Taxation Institute.

Visit by the Executive Members of the Association of MEMBERSHIP GROWTH AND Chartered Accountants in Public Service DEVELOPMENT (Lagos State Chapter) The Executive members of the Association of Chartered Growth of Membership – 56TH Induction Ceremony Accountants in Public Service (Lagos State Chapter) led by its The Institute continued to witness steady growth in its Chairperson, Mrs. Oyeyemi Ayoola, FCA, paid a courtesy visit to membership. During the 56th Induction ceremony held at the

Centre was held in Gombe State on Monday, October 26, 2015. The Executive Governor of Gombe State, His Excellency, Alhaji (Dr.) Ibrahim Hassan Dankwambo, OON, PhD, FCA assured me that his administration will always ensure that the Study Centre is professionally managed. I used the opportunity to solicit for employment of more of our members into the civil service in view of the associated benefits of engaging Chartered Accountants.

Foundation Laying/ Commissioning Ceremony of ICAN Lecture Theatre In continuation of the Institute’s public interest mandate and to encourage the production of highly skilled Accounting graduates in a conducive environment, I led a delegation comprising some Council Members to The Polytechnic, Ibadan, Oyo State for the foundation stone laying ceremony. I am delighted Mrs. Mojisola Osiyemi, Past President (left); SWAN Chairperson, Mrs. Titilayo Akibayo; 51st ICAN to report that I again led members of the President, Otunba Olufemi Deru; his wife, Christianah Oni Deru; Mrs. Olutoyin Olakunri, Past President; Presidency and Council to commission Chief (Mrs.) Elizabeth Adegite, Past President; and SWAN Vice Chairperson, Mrs Folake Onabolu at the the 350-seat capacity lecture theatre on Luncheon held in honour of the ICAN President by Society of Women Accountants of Nigeria (SWAN) 23rd February 2016.

ICAN Students’ Centre, Amuwo on Wednesday, November Foundation Laying Ceremony of the ICAN Lecture 4, 2015, a total of 262 qualified young men and women were Theatre at the Michael Okpara University of admitted into the disciplined Accountancy profession. At the end Agriculture (MOUAU), Umudike, Abia State of the ceremony, the membership of our Institute rose to 39,107. As part of the Institute’s corporate social responsibility We are proud of this regular capacity building of professional towards the advancement of accounting knowledge in the Accountants in the country. country, I performed the foundation laying ceremony of another 350-seat capacity lecture theatre for the Accounting Department Association of Accounting Technicians of Michael Okpara University of Agriculture, Umudike, Abia State Similarly, the membership of the ATSWA rose to 18,898 on Wednesday, February 03, 2016. following the admission of 981 qualified Accounting Technicians into the fold in June and December, 2015. The examination was introduced to provide middle level accounting personnel for the country.

STUDENTS DEVELOPMENT

Commissioning of the ICAN/NNDC Gombe Study Centre I am delighted to report that efforts to encourage some states to partner with the Institute to produce more Chartered Accountants yielded more fruits. The formal commissioning of Gombe State Governor, Alhaji Ibrahim Dankwabo, FCA, cutting the tape to formally open the NNDC-ICAN the ICAN/NNDC Gombe Study Study Centre in Gombe, assisted by ICAN President, Otunba Olufemi Deru and other dignitaries

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ICAN President, Otunba Olufemi Deru with participants at the 3rd UK Zonal Conference held in London in April The Vice Chancellor of the University, Professor Hillary Odo Conference from April 15 to 16. The event was also used to Edoga expressed his appreciation and that of its Senate to the admit newly qualified members into the membership of the Council of the Institute for redeeming its pledge to site a lecture Institute while others were conferred with the fellowship status. theatre on its campus. The theme of the conference was “Repositioning the National Economy, The Ways Forward.” ICAN Centre, Amuwo Odofin The complex is now being managed by the Secretariat with ICAN-UK & District Society Annual Dinner & Dance exciting results after the termination of agreement between the The ICAN-UK & District Society held its Annual Dinner Institute and the former property manager over poor financial and Dance as well as Silver Jubilee celebration at the Hilton performance by the latter. The halls have been renovated and Canary Wharf, South Quays Marsh Wall, London on Saturday, demarcated so that multiple events can be held simultaneously. December 12, 2015 under the Chairmanship of the Acting Council also approved a 10% discount for any financial member Nigeria’s High Commissioner to the Court of St. James, His of the Institute who wishes to use a wing of the Hall and 15% for Excellency, Ambassador Olakunle Akindele Bamgbose who was more than a wing for personal events. The member must also ably represented by Prince T.G. Adeniyi, a Director in the office belong to a district society to qualify. of the High Commissioner. In the address of The High Commissioner, Ambassador Bamgbose acknowledged the positive roles of ICAN members in INTERNATIONAL ACITIVITES the United Kingdom and enjoined them to embrace the change mantra of the new administration in order to help drive the Nigeria The 2nd ICAN-USA International Accountants’ Conference project in our respective public or private work environment. He Held at Nevada, Las Vegas, United States of America praised the professional disposition of members in handling The 2nd ICAN-USA International Accountants Conference, assignments entrusted in their care and urged them to continue with the theme: “Accounting Information System In on this part of honour. Business: Opportunities and Risks” was held in Renaissance In my speech, I conveyed the felicitation of the entire Council to Las Vegas Hotel, Nevada, United States of America between members of the District Society for both 2015 Annual Dinner and Wednesday, August 19 and Saturday, August 22, 2015. I used Dance & Twenty-Five Years Anniversary. I equally acknowledged the event to remind members of the various activities outlined and described the District as the Institute’s foremost outpost, for the Institute’s 50th Year Anniversary celebration held during outside the shores of Nigeria whose members’ suggestions and the Annual Conference in Abuja from August 31 – September ideas have positively impacted the image of ICAN as the flagship 04, 2015. of professional accountancy bodies in Africa.

UK Zonal Conference and Induction Ceremony Fellowship Conferment Ceremony in the Americas During the year under review, the UK and District Society, We continued to reach our members outside Nigeria and also our first District outside Nigeria organised its 2016 Zonal Annual encouraged new members to join the Institute. In line with these

strategies, we conducted a fellowship conferment ceremony in Institute’s invitation to the 2015 Federal Government Budget the Americas where nine (9) members were conferred with the Symposium, I led a delegation on a Thank-You visit to His Royal Fellowship status of the Institute. Majesty, Sarkin Kano, Mohammed Sanusi II, CON, on Thursday, September 10, 2015. CIPFA Annual Dinner I gave a brief history of the Institute, its social responsibilities Mrs. Camilla Shittu, FCA, Chairperson, Caretaker Committee to its different audience and wished him a peaceful reign on the of the ICAN UK & District Society represented me at the throne of his fore fathers. The royal father promised to continue CIPFA Annual Dinner held on Thursday, February 26, 2016 to support the Institute in all efforts towards delivering its public at Intercontinental Hotel, Park Lane, London.

International Federation of Accountants (IFAC) Meeting I, in company of Major-Gen. Sebastian Owuama (rtd.), FCA (Past President) and the Registrar/Chief Executive were in Indonesia from Tuesday, November 10 to Friday, November 13, 2015 for the IFAC Council meeting.

External Relations: Pan African Federation of Accountants (PAFA) Meeting The Institute continued to play its key role at the global stage in the comity of accountancy profession. I attended a three-day meeting of Pan African Federation of Accountants in Johannesburg, South Africa from Friday, July 31 to Tuesday, August 04, 2015. Issues that were of immense benefit to the growth and development ICAN President congratulating a member at the recent Fellowship conferment in Lagos of the profession on the continent of Africa were discussed at the meeting. I, in company of the Vice responsibility mandate. President, Deacon Titus Soetan, FCA and the Registrar/Chief Executive attended the Annual General Meeting of PAFA held in Courtesy Visit to Chief (Sir) Chuks Uwaubani, FCA Livingstone, Zambia from 25th to 27th April 2016. After the foundation stone laying ceremony at University of Agriculture, Umudike, I led a delegation to pay a visit on the pioneer Chairman of Umuahia & District Society, Chief (Sir) OTHER NOTABLE ACTIVITIES Chuks Uwaubani, FCA at his residence in Umuahia. In his brief remarks, Chief Uwaubani, FCA told us how the Commendation Service for Late Past President formation of the District has influenced the indigenes of the State J.K.O. Osinaike, FCA. to enrol for accounting courses at the various tertiary institutions It is with a heart filled with sorrow that I recall the passing to within and outside the state. I thanked him and his amiable wife glory of a member of the Body of Past Presidents, Mr. Johnson for the warm and homely reception accorded us and wished him Kayode Osiyemi Osinaike, FCA (Membership No:283). A well in retirement. commendation service was held for the deceased on Monday, September 21, 2015. Once again, I will like to appreciate Past Dinner in Honour of the Managing Director/ Chief Presidents that were in attendance at the event to honour the Executive of First Bank of Nigeria Plc late President. I attended a dinner hosted at the Metropolitan Club,Victoria Island, Lagos in honour of the new Managing Director/Chief Visit to the Doyen on His 96th Birthday Anniversary Executive of First Bank of Nigeria Plc., Dr. Adesola Kazeem I led some Past Presidents, members of the Presidency, some Adeduntan, FCA. Council members, the Registrar/Chief Executive and some top Secretariat staff to felicitate with the Doyen of the Accountancy Entrepreneurship Initiative profession at his Ikoyi home in celebration of his 96th birthday on The theme of my Presidential Year is ‘Entrepreneurship’. To Monday, August 10, 2015. this end, I put in motion series of seminars on the initiative. The aim is to empower ICAN members with mentoring, education, Courtesy Visit to the Sarkin Kano skills development and support fieldwork to pursue their ideal As a show of deep sense of appreciation for honouring the entrepreneurial dreams and enhance financial freedom.

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ICAN Entrepreneurship Initiative Seminars Held in 2016 at the Council Chamber of the Secretariat, Victoria Island, Ibadan and Port Harcourt Lagos under my chairmanship. On February 24, 2016, I declared open the Institute’s Entrepreneurship Initiative Seminar at the Lafia Hotel, Ibadan, THE SECRETARIAT Oyo State. This was followed by a similar Seminar in Port Harcourt. It is hoped that the Seminar will be extended to Abuja. Introduction of Health Management Organisation

rd The Institute places high premium on welfare of its personnel Ikeja & District Society 3 Entrepreneurship and believes that a healthy staff would lead to high productivity Initiative Seminar and better performance. To this end, the Institute has commenced, On Saturday, February 13, 2016, I was the Chief Host at the rd from January 2016, the implementation of Health Maintenance Ikeja & District Society 3 Entrepreneurship Initiative Seminar Scheme in order to give quality health care services to staff. The tagged “Entrepreneurship – Tapping Opportunities from effect of this development, however, is the stoppage of medical Your Environment” held at the Lagos Airport Hotel, Ikeja, allowance to staff. Lagos. The following papers were presented during the seminar: Resignation of Director, Membership Directorate  Commercially Viable Small Scale & Medium Enterprises Mr Wale Awe, FCA, Director of Membership Directorate Development and the Role of FIIRO. resigned his appointment with the Institute. Thus, there was a minor redeployment of top management staff. Mr Gabriel Arinze,  Entrepreneural Development in Nigeria: The Role of Director of Abuja liaison office was redeployed to the Faculties, Nigerian Export Promotion Council and Opportunities in while Mrs. Claudia Binitie, formerly of Faculties moved to the Non-Oil Sector. Membership Directorate. Meanwhile, Mr. Adamu Yusuff, a Senior Manager is the Head of Abuja Liaison office.  Entrepreneurial Development in Nigeria: The Role of SMEDAN in Financing and Business Support. Tenured Directorship In line with the policy on tenured directorship, the two Present at the ceremony with me were Mr. Emmanuel deputy registrars, Messrs Olusoji Olumide Odukoya, MBA, Ijewere, FCA and Mr. Doyin Owolabi, FCA (both Past Presidents FCS, FCA and Abel Aig. Asein, MBA, ACA after their successful of the Institute). Also in attendance were the following Council nd completion of two terms as directors disengaged from the members: Alhaji Rasak Jaiyeola, FCA, 2 Deputy Vice President, service of the Institute. On behalf of the Council, I thank them Mr. Tayo Phillips, FCA, and Honorary Treasurer and Mrs. Comfort for the tremendous contributions they made to the growth of the Eyitayo, FCA. Institute and wish them success in their future endeavours. Mr. John Evbodghe, FCA and Mrs. Claudia Binitie, MSc have been Invitation from EY for Entrepreneur of the appointed as Deputy Registrar, Technical Services and Acting Year 2015 Award (West Africa) Deputy Registrar, Corporate Services respectively. I, in company of the Registrar/Chief Executive, honoured an invitation from EY (West Africa) for the EY Entrepreneur of the Staff Welfare and Capacity Building Year Award at a ceremony that was held at the Expo Hall, Eko There was peaceful industrial atmosphere in the secretariat Hotel & Suites, Victoria Island, Lagos. during the presidential year. Members of Staff of the Institute were sent for training in prominent institutions to expose them to Commissioning Ceremony of Titmus Car Clinic global best practice and sharpen their management skills. My dear professional colleagues, It is my desire that the Institute encourages and associates with its members that are into the world of entrepreneurship in view of the precarious economic problems and high level of unemployment confronting CONCLUSION the nation. In this regard, I was in Ibadan, Oyo State on Monday, September 07, 2015 at the instance of Alhaji Niyi Badmus, Finally, let me end this stewardship report by expressing, FCA, erstwhile General Manager of Lagos Airport Hotel, Ikeja to once again, my gratitude to all of you for your support, words of declare open and commission Titmus Car Clinic, an ultra modern wisdom and unwavering disposition to the cause of the Institute. I Auto Mechanic Workshop located at Ibadan, Oyo State. feel greatly honoured to have been given the opportunity to carry I used the occasion to call other members of the Institute to the Institute’s mantle of leadership for the 2015/2016 presidential emulate the business promoter and diversify into businesses year. I assure you all that I will continue to defend the ideals of other than looking through financial records of others. the Institute no matter the odds. Thank you and God bless. THE ICAN DISCIPLINARY TRIBUNAL Otunba Samuel Olufemi Deru, FNIM, JP, FCA To further reaffirm the Institute’s philosophy, values and beliefs st in line with the ethics of the accountancy profession, that there 51 ICAN President are no sacred cows and no one is above the law, the Institute’s Disciplinary Tribunal sitting was held on Friday, February 26,

OBITUARIES FOR 2014/2015 MEMBERSHIP PRESIDENTIAL YEAR

AFFAIRS S/N Name Membership No. During the period under review, 75 Practice Licences and 14 1. Chief Jonathan Olubi 0456 Attachment forms were successfully processed and approved by 2. Adesina Ayowole Joseph 11915 Council. 3. Maraiyesa Sunday, O. 03197 INDUCTION CEREMONIES 4. Adamu Mohammed 032842 5. Nwagbara Chukwuemeka 04245 The May and November 2015 induction ceremonies produced 6. Ogoji Sunday, A. 15832 a total of 553 Inductees who were admitted as against 1,000 Inductees admitted in 2014. The two ceremonies were held at 7. Oladeji Emmanuel 11377 ICAN Centre, Amuwo-Odofin, Lagos. 8. Ajene John Nwabueze 01326 As at December 2015, the membership of the Institute was 9. Ohiwele Jonathan Osagie 07310 39,664 made up of 39,643 Chartered Accountants and 21 Registered Accountants. 10. Adetona Abdul-Rasheed 0340 The number in each class of membership is as follows: 11. Ayinla Egunjobi 0060 12. Fatoke Olanrewaju 09609 Category of Fellows Associate Total Membership 13. Nduka Bernard Onoche 036425 a) Members with 3,832 2,301 6,133 14. Awomolo Gbolahan, O. 02806 Practice Licence 15. Ezeuko Ike Joseph 1679 b) Members without 5,179 28,352 33,531 16. Ojo Peter Bandele 00182 Practice Licence 17. Ilori Pius Oluwafemi 35067 Total 8,753 30,336 39,664 18. Adebowale Alani Yusuf 18839 19. Igboba Noel, A. 01531 Registered Accountants 21 20. Ogunlowo Peter Adebayo 0728 under Section 8(2) of the ICAN Act 21. Aneke Simon Chibuzor 04433 22. Chief Kalu Nkochi 02072 Total Membership as at 39,664 December 31, 2015 23. Pearce Shuaibu 02526 24. Agbelusi Claudius, B. 10003 25. Chief Fashola James, O. 01449 MORE INFORMATION ON 26. Festus Ughaonu 026963 MEMBERSHIP RECORDS 27. Osinaike Johnson Kayode 000283

Total membership of the Institute as at 39,664 December 31,2015 CHANGE OF NAMES, FIRMS & a) Recorded Death as at December 31, 2015 (523) EXEMPTION FOR SUBSCRIPTION b) Members on pending list due to unresolved (32) issues with the Institute Description Nos. c) Members suspended as at December 31, 2014 – a) Marital Ground 25 by the Tribunal by virtue of S.12(2) of the b) Other Ground such as (Religion, Tradition, 12 ICAN Act Personal, etc.) d) Members whose names were struck out as at – c) Firms 06 December 31, 2014 by the Tribunal by virtue of d) Subscription Exemption 13 S.12(2) of the ICAN Act e) Commencement of New practice 08 e) Reinstated f) Therefore total membership number as at 39,109 Members can update their records on-line on the Institute’s December 31, 2015 website www. ican-ngr.org (Fellows, Associate Members and Registered However, financial members (those up-to-date with their Accountants) membership dues) as at December 31, 2015 is 15,094.

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issuance of cheque for the amount approved. ICAN MEMBERS’ iv. All cheques shall be crossed (‘’account payee’’ only) and made payable to the beneficiary through the District BENEVOLENT Society unless otherwise decided by the Board. v. All failed/rejected applicants will be informed of the reason & EDUCATIONAL for failure/rejection. d) ACTIVITIES OF THE FUND IN 2015 TRUST FUND The major activities of the Management Board include fund raising and management of the fund’s investments. ACTIVITIES OF THE MANAGEMENT The funds generated are invested. It is only the income from BOARD AS AT DECEMBER 2015 the investments of the fund that are disbursed to members in need. Since its inception, the major focus of the fund has been The ICAN Members Benevolent & Educational Trust Fund provision of financial aid to members in need and families of was established by the Council of the Institute of Chartered deceased members. Accountants of Nigeria (ICAN) in 2003 with three main objectives namely:- i. Meetings of the Fund’s Management Board l To give financial assistance to needy members. The ICAN Members Benevolent & Educational Trust Fund l To support families and dependants of needy members Management Board met seven (7) times in year 2015. The board who have passed on. met on the following dates: l To promote and invest in Research and Educational — January 27, 2015 development. — February 24, 2015 — March 17, 2015 a) ELIGIBILITY CONDITIONS — April 28, 2015 To be eligible for the financial aid/grant made available for — August 25, 2015 needy members, the following conditions must be fulfilled: — October 27, 2015 i. The applicant or person on whom the dependant(s) is/are — November 25, 2015 making the application must be a professionally qualified member of the Institute. ii. Other Objectives of the Fund ii. He/She must have paid up the annual subscription of the The fund’s Management Board recently held a retreat to Institute at least up to the immediate preceding year before work out the strategies for the implementation of the fund’s third incapacitation. objective:- iii. The mishap for which the Fund is meant to grant succor l To promote and invest in Research and Educational to the member must not be due to his/her carelessness, Development. negligence, or recklessness e.g. the fund will not be disbursed towards cases like arson, murder, man slaughter, iii. Fund’s Raising Activities accident resulting from use of hard drugs, etc. The Minutes Secretary had been attending ICAN public iv. The funds will not be disbursed to meet any judgment debt functions to showcase the Benevolent Fund in order to generate or to compensate for the member’s criminal act(s). more revenue for the Fund. Letters of appeal for financial v. It must be proved beyond all reasonable doubts that assistance towards the scheme had been written to some the member cannot afford (as a result of his/her present individuals and organisations in this regard though response had circumstances) his immediate needs. not been encouraging.

b) RANGE OF BENEFITS AVAILABLE TO iv) Assistance Granted to Members in 2015 QUALIFIED/APPROVED BENEFICIARIES In the Year 2015, a total of seven (7) applications were received The minimum amount of benefit to individual applicant out of which four were successful. A total of N1,750,000.00 were member shall be a sum of One Hundred Thousand Naira disbursed to the relevant successful applicants. (N100,000); while the maximum is Five Hundred Thousand We hereby appeal to members to endeavour to create Naira (N500,000). awareness about the purpose and benefits of the Fund (ICAN Members’ Benevolent & Educational Trust Fund) among c) PROCEDURE FOR DISBURSEMENT members of their respective District Societies. This is important i. Application shall be received from prospective beneficiaries to aid the Management Board in its repeated appeal to members stating the estimate of his/her needs-such application for donations. It will also facilitate the fulfillment of its desire to should also be supported by the District Society of the touch more lives and make its assistance more effective. member. We also seize this opportunity to inform members that may be ii. The application has to be considered by the Management in distress and in need of financial assistance not to hesitate to Board. All applications considered and treated at any apply to the Fund’s Management Board (following the procedure meeting where at least (2) two members of the Board are highlighted in the earlier part of this report) through the Chairmen present is considered valid. of their respective district societies. iii. The Secretary shall be responsible for the processing and

ANNUAL ACCOUNTANTS’ CONFERENCE The 45th Annual Accountants’ Conference was successfully held at the International Conference Centre, Abuja and Abuja Sheraton Hotel from August 31 to September 4, 2015. The theme of the Conference was “ICAN: Building on a Legacy of Service.” The Conference recorded a total attendance of 3,860 delegates comprising 3,479 fee-paying delegates and 221 non-fee paying delegates. The non-fee paying delegates included the Presidency, Council members, invited dignitaries, Past Presidents, Past Registrar/Chief Executives, (left) ABWA representatives, Resource Persons, ICAN Registrar/Chief Executive, Mr. Rotimi Omotoso ; ICAN Vice President, Deacon Titus Soetan; Mrs. Christiana Deru; ICAN President, Otunba Olufemi Deru; ICAN 2nd Deputy Vice President, Discussants, Chairmen of Sessions, Alhaji Razak Jaiyeola; 1st Deputy Vice President, Alhaji Ismaila Zakari; and 45th Annual Accountants’ Committee Members and Staff. Conference Committee Chairman, Mrs. Comfort Eyitayo, cutting the 50th Anniversary cake The Conference was declared open by President and Commander-in-Chief of the Federal Republic of Nigeria, His Excellency Muhammadu Buhari, GCFR, who was represented by the Permanent Secretary, Federal Ministry of Finance, Mrs. Anastasia Daniel-Nwobia. In attendance were representatives of Professional Accountancy bodies in Africa, USA and the United Kingdom. Members of Association of Professional Bodies in Nigeria were also in attendance. Other dignitaries that graced the occasion were the Vice President, Prof. Yemi Osinbajo, SAN, GCON; His Excellency, Senator Ibikunle Oyelaja Amosun, FCA, CON, the Executive Governor of Ogun State; His Excellency, Mr. Akinwunmi Ambode, FCA, the Executive Governor of Lagos State; the Managing Director/Chief Executive, Africa Global Research, Standard Chartered Bank, United Kingdom, Razia Khan, who was one of the panellists that discussed the lead paper along with Dr. Obadiah Mailafia, while, Prof. Pat Utomi served as the moderator. A total of 47 Exhibitors participated in the exhibition organised ICAN Vice President, Deacon Titus Soetan; Vice President Yemi Osinbajo; at the International Conference Centre, Abuja. These included ICAN President, Otunba Olufemi Deru; and Past President Ayo Oni

Ogun State Governor, Senator Ibikunle Amosun, FCA (left); ICAN President, Chairman, Accountants’ Conference Committee, Mrs. Comfort Otunba Olufemi Deru, FCA; and Lagos State Governor, Mr. Akinwumi Olujumoke Eyitayo, FCA (left); Gombe State Governor, Alhaji Ibrahim Ambode, FCA at the 45th Annual Accountants Conference in Abuja Dankwambo, FCA; and ICAN President, Otunba Olufemi Deru

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Ten students of various higher Institutions that won prizes in the essay competition ICAN President, Otunba Olufemi Deru welcoming Professor Pat organised by the Institute as part of activities marking its 50th anniversary Utomi to the 45th Annual Accountants’ Conference in Abuja private organisations and state conference. The essay competition governments which sponsored touched the heart of students and and made donations towards the lecturers in our tertiary Institutions. Conference. The exhibition was a The ten finalists were celebrated at huge success. the conference. The ten Students also The high point of the Gala-Nite received various cash prizes and one was a raffle draw where three laptop each, while the first three got members won the three star prizes scholarship to write ICAN professional (Kia Sportage, Nissan Almera and exams. Chevrolet), in addition to other The names of the students are as consolation prizes that included follows: Laptop, iPad, iPhone, Air Tickets 1. Meck Doramen Emmanuel and a weekend stay in Transcorp, 2. Adekunbi Ademola Oluwaseun Sheraton and Premier Hotels. 3. Akpan Aniebet-Abasi Pius The Kia Sportage, Nissan saloon 4. Nnamani Chindinma Lynda car and Chevrolet were donated 5. Sodeinde Adenike Oyindamola by Northwest Petroleum Limited, ICAN President presenting a trophy to one of the winners 6. Waheed Tunde Obafemi Heritage Bank Plc and Fidelity Bank during the sporting competition at the conference 7. Ibikunle Olumide Adedeji respectively. However, the Peugeot 8. Famosa Oluwaseyi 305 donated by Pan Nigeria Limited was retained for use by the 9. Elendu Testimony Secretariat after obtaining the permission of the donor. 10. Medayese John Oluwashola. TH 50 ANNIVERSARY ESSAY COMPETITION The conference was declared closed by His Excellency, As part of corporate social responsibility of the Institute, the Alhaji Ibrahim Hassan Dankwambwo, FCA, OON, the Executive 50th Anniversary essay competition was held at Abuja during the Governor of Gombe State.

Members of Ilorin and District Society during District Societies parade at ICAN President, Otunba Olufemi Deru presents car key to one of the 45th Annual Accountants’ Conference in Abuja the star winners at the 45th Annual Accountants’ Conference

Association. All the five vacancies created were filled through an ASSOCIATION OF election process in line with rule 10 of the Association`s Constitution and Bye Laws. Details of the results are contained in the minutes ACCOUNTING of the 2015 Annual General Meeting of the Association.

TECHNICIANS WEST ACCOUNTING TECHNICIANS SCHEME WEST AFRICA AFRICA (AATWA) The ATSWA Examination took place in March and September 2015 under the aegis of the Association of Accountancy Bodies in AATWA INDUCTION CEREMONY West Africa (ABWA) without any hitch. The four member Institutes Two induction ceremonies were held in June and December, that participated in the ATSWA examination for the two diets in 2015 respectively. A total of 594 and 641 ATSWA graduates 2015 were Nigeria, Ghana, Liberia and Sierra-Leone. were admitted into the Association`s membership fold. The total The March 2015 diet of the examination took place in the membership strength of the Association as at December 2015 following thirty (30) centres in Nigeria: Aba, Abakaliki, Abeokuta, was 20,052. At both inductions, papers were presented by Abuja, Ado-Ekiti, Akure, Awka, Benin City, Calabar, Enugu, knowledgeable speakers. Ibadan, Ikorodu, Ilesha, Ilisan, Ilorin, Jos, Kaduna, Kano, Lagos, Lokoja, Makurdi, Ogbomosho, Okija, Onitsha, Owerri, Port Harcourt, Umuhia, Uyo, Warri and Yenagoa. AATWA ANNUAL CONFERENCE The breakdown of candidates’ enrolment for March and th The AATWA 20 Annual Conference was held on Friday, September examinations is below: December 4, 2015 at the ICAN Centre, Amuwo Odofin, Lagos. A paper on “ICAN at 50: Repositioning Accounting Technicians for Level March 2015 September 2015 Sustainable National Development” was delivered by Mr. Lanre Dapiver, Regional Director for Africa, Oracle Corporation. Part I 2045 1719 AATWA ANNUAL GENERAL MEETING Part II 1066 1535 The 20th Annual General Meeting of the Association was held Part III 982 806 on Friday, December 4, 2015 at the ICAN Centre, Plot 12, Kofo Kasumu Street, Amuwo Odofin, Lagos. The meeting was held Total 4,093 4,060 before the commencement of the Annual Conference where over 1,200 members were in attendance. Merit, Subject and Special prizes were awarded to candidates Five (5) members of the Executive Committee retired in with outstanding performance in the March 2015 examination as accordance with rule 12 of the Constitution and Bye Laws of the stated below:

MARCH 2015 DIET (a) MERIT PRIZES

Name Examination Number Registration Position Part Number

Modepo Toluwani Adeniyi ATS/20151/10486/A AT/104963 1st Part I

Adetoun Boluwatife Aderoju ATS/20151/11142/A AT/104182 2nd Part I

Nnakifeh Chimaeze Jeremiah ATS/20151/11354/A AT/104213 3rd Part I

Omolola Oluwatobilola Oluwasegun ATS/20151/20865/A AT/103230 1st Part II

Tijani Quadri Abiola ATS/20151/20915/A AT/103246 2nd Part II

Ogunlana Oyindamola ATS/20151/20569/A AT/103745 3rd Part II

Ogunmuko Olaoluwa Oluwatosin ATS/20151/30383/A AT/101413 1st Part III

Balogun Tawakalitu Omobolaji ATS/20151/30628/A AT/101623 2nd Part III

Elegbede Abraham Oluwatobi ATS/20151/30019/A AT/098065 3rd Part III

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(b) SUBJECT PRIZES

Level Subject Prize Winner Basic Accounting Processes ATS/20151/11354/A AT/104213 Chief (Dr) R.U. Uche’s Prize & Systems Nnakifeh Chimaeze Jeremiah ATS/20151/11148/A AT/104645 Economics Mrs. I.M. Osiyemi’s Prize Adewusi Oluwatobiloba Motunrayo

Part I Otunba Abdul Lateef Owoyemi’s ATS/20151/10486/A AT/104963 Business Law Prize Modepo Toluwani Adeniyi Chief C.F.G. Akinwolemiwa’s ATS/20151/11390/A AT/104874 Communication Skills Prize Okekeukwa Grace of God Ngozi Principles and Practice of Major General. S.A. Owuama’s ATS/20151/20865/A AT/103230 Financial Accounting Prize Omolola Oluwatobilola Oluwasegun ATS/20151/20865/A AT/103230 Public Sector Accounting F.B. Cardoso’s Prize Omolola Oluwatobilola Oluwasegun

Part II ATS/20151/20865/A AT/103230 Quantitative Analysis Ayo Oni’s Prize Omolola Oluwatobilola Oluwasegun Otunba Ayora (Dr.) Bola ATS/20151/20776/A AT/100646 Information Technology Kuforiji-Olubi’s Prize Longe Oluwafemi Olakunle ATS/20151/30599/A AT/099503 Principles of Auditing Alhaji I.O. Sulaimon’s Prize Alimi Usman Ajibola ATS/20151/30383/A AT/101413 Cost Accounting U.S. Nwankwo’s Prize Ogunmuko Olaoluwa Oluwatosin

Part III Preparing Tax Computation ATS/20151/30019/A AT/098065 D.B.O. Ogutuga’s Prize & Returns Elegbede Abraham Oluwatobi ATS/20151/30353/A AT/099976 Management Chief F.K. Bajomo’ s Prize Ashade Omowunmi Busayo

► F.I. Ogunjuboun’s Prize for the best qualifying female candidate in March 2015 diet examination:

Level Name Examination Number Registration Number Part III Ogunmuko Olaoluwa Oluwatosin ATS/20151/30383/A AT/101413

► Silver Scholarship for the “Best Qualifying Candidate” in March 2015 diet examinations:

Level Name Examination Number Registration Number Part III Ogunmuko Olaoluwa Oluwatosin ATS/20151/30383/A AT/101413

SEPTEMBER 2015 DIET

The September 2015 diet of the examination took place in the following thirty-one (31) centres: Aba, Abakaliki, Abeokuta, Abuja, Ado-Ekiti, Akure, Awka, Benin City, Calabar, Enugu, Ibadan, Ikorodu, Ilesha, Ilisan, Ilorin, Jos, Kaduna, Kano, Lagos, Lokoja, Makurdi, Ogbomosho, Okija, Oko, Onitsha, Owerri, Port Harcourt, Umuahia, Uyo, Warri and Yenagoa. Merit, Subject and Special prizes were awarded to candidates with outstanding performance in the September 2015 examination as stated below:

(a) MERIT PRIZES

Name Examination Number Registration Position Part Number Ekoko Alero Inumidun ATS/20152/10074/A AT/106441 1st Part I Enoc-Ahiamadu Victoria Uwhuomachukwu ATS/20152/10079/A AT/106446 2nd Part I Akindele Tejumola Abiodun ATS/20152/10484/A AT/107132 3rd Part I James Ndifrke Effiong ATS/20152/20272/A AT/105054 1st Part II Olafemi Oluwatomi ATS/20152/20395/A AT/102820 2nd Part II Ogundipe Paul Adeyinka ATS/20152/20564/A AT/104970 3rd Part II Longe Oluwafemi Olakunle ATS/20152/30574/A AT/100646 1st Part III Omolola Oluwatobilola Oluwasegun ATS/20152/30667/A AT/103230 2nd Part III Yusuf Muiz Omogbolahan ATS/20152/30729/A AT/106314 3rd Part III

(b) SUBJECT PRIZES

Level Subject Prize Winner Basic Accounting Processes Chief (Dr.) R.U. Uche’s Prize ATS/20152/10074/A AT/106441 & Systems Ekoko Alero Inumidun Economics Mrs. I.M. Osiyemi’s Prize ATS/20152/10079/A AT/106446 Enoc-Ahiamadu Victoria Uwhuomachukwu

Part I Business Law Otunba Abdul Lateef Owoyemi’s ATS/20152/11324/A AT/106244 Prize Okwechime Jennifer Okikechukwu Communication Skills Chief C.F.G. Akinwolemiwa’s ATS/20152/11431/A AT/106876 Prize Situ Aminat Adebukola Principles and Practice of Major-General S.A. Owuama’s ATS/20152/20721/A AT/105528 Financial Accounting Prize Lawal Aishat Adedoyin Public Sector Accounting F.B. Cardoso`s Prize ATS/20152/20523/A AT/103587 Azeez Mariam Omolara Part II Quantitative Analysis Ayo Oni’s Prize NIL

Information Technology Otunba Ayora (Dr.) Bola ATS/20152/20272/A AT/105054 Kuforiji-Olubi’s Prize James Ndifreke Effiong Principles of Auditing Alhaji I.O. Sulaimon’s Prize ATS/20152/30729/A AT/106314 Yusuf Muiz Omogbolahan Cost Accounting U.S. Nwankwo’s Prize ATS/20152/30667/A AT/103230 Omolola Oluwatobiloba Oluwasegun Preparing Tax Computation D.B.O. Ogutuga’s Prize ATS/20152/30574/A AT/100646 Part III & Returns Longe Oluwafemi Olakunle Management Chief F.K. Bajomo’s Prize ATS/20152/30667/A AT/103230 Omolola Oluwatobiloba Oluwasegun

 It should be noted that no candidate satisfied the requirements for winning Ayo Oni’s Prize in Quantitative Analysis.

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► F.I. Ogunjuboun’s prize for the “Best Qualifying Female Candidate” in September 2015 diet Examinations:

Name Examination Number Registration Number Agbede-Idonije Jennifer Efe ATS/20152/30447/A AT/103386

► Princess A.A. Adeniran’s Prize for the “Best Qualifying Female Candidate” for the year:

Name Examination Number Registration Number Ogunmuko Olaoluwa Oluwatosin ATS/20151/30383/A AT/101413

► Alhaja (Mrs.) Shakirat Adepeju Babatunde’s Prize for the “Best Qualifying Male Candidate” for the year:

Name Examination Number Registration Number Longe Oluwafemi Olakunle ATS/20152/30574/A AT/100646

► Silver Scholarship for the “Best Qualifying Candidate” in September 2015 diet examinations:

Name Examination Number Registration Number Longe Oluwafemi Olakunle ATS/20152/30574/A AT/100646

Cross-section of students at ICAN’s “Catch-Them-Young” programme

4. PZ Cussons Nigeria Plc MEMBERS’ EDUCATION 5. Shell Nigeria Exploration & Production Company Limited (SNEPCO) AND TRAINING 6. GlaxoSmithKline, Nigeria 7. Stanbic IBTC Pension Managers Ltd. COMMITTEE 8. Skye Bank Plc 9. Zenith Bank Plc As part of the Committee’s efforts to ensure that Members 10. Nigerian Breweries Plc of the Institute are abreast of developments in the profession, 11. Stanbic/IBTC Bank the 2015 Members’ Continuing Professional Education (MCPE) 12. Nigerian Deposit Insurance Corporation (NDIC) programme was designed to ensure that learning development 13. Emerging Markets Telecommunications Service and growth at all stages of their professional career are fully (ETISALAT) addressed. 14. PricewaterhouseCoopers Nigeria MCPE programme is a major source of information and 15. AIRTEL, Nigeria education for updating, improving and enhancing the knowledge 16. Seven-up Bottling Company Plc and professional skills of members. 17. UNILAG Consult It is a lifelong learning programme that equips members for 18. General Electric the future by developing and enhancing their skills and ability to 19. LAPO Microfinance Bank Ltd. further create value and wealth. It enlightens members on today’s 20. Asset Management Corporation of Nigeria (AMCON) critical issues and best practices. 21. Visafone Communications Ltd. 22. British American Tobacco 23. BAT Foundation REVIEW OF 2015 ACTIVITIES 24. BGL Plc The 2015 training year commenced in January and ended 25. IHS Africa. December 2015 with in-house training. The year was a very challenging one in the sense that attendance in the first six months was abysmally poor partly due to electioneering and political activities. Thus, economic activity was not at its best, ACCREDITATION OF salaries were delayed in some instances and a general lull in the SEMINARS/WORKSHOPS economy. All these affected members’ capability to participate in The Institute’s policy on the assessment of seminars/ our training programmes in the early part of the year. The effect workshops organised by other organisations, District Societies, of this was however moderate towards the 3rd and 4th quarters etc, requires the submission of the following: of. the year Thus 2015 was a year of contrast in which a difficult  Payment of accreditation fee. and uncertain beginning eventually gave way to a promising  Course programme, reflecting the duration of each paper. end. In all, a total of one hundred and seven (107) seminars  Seminar papers should be forwarded three weeks before were conducted successfully in twenty (20) locations across the date of seminar for evaluation. country and beyond.  Evidence of original attendance of members through attendance sheets signed by participants. Some of our In-House Clients include:  Resume of resource persons. 1. Chevron Nigeria Limited  Application for monitoring of the programme before the 2. MTN Communications Limited seminar. 3. Nigerian Bottling Company Plc  Theme of the programme /course outline/topics. MCPE TRAINING ATTENDANCE FOR 5 CONSECUTIVE YEARS

PROGRAMME ATTENDANCE S/No Details 2011 2012 2013 2014 2015 1 MCPE 4,958 4,480 4,870 4,665 5,206 2 EMCPE 97 181 143 106 41 3 CPE 70 65 148 39 184 4 E-CPE 26 65 72 39 44 5 In-House 1,143 1,567 1,468 1,658 1,581 6 Topic Specific 72 1,121 440 356 195 Total 6,366 7,479 7,141 6,863 7,251

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The 51st President, Otunba Olufemi Deru with Council members

 Target audience. Conference, World Congress of Accountants, PAFA Congress,  Expected number of participants. Zonal Accountants’ Conference and Accountancy Bodies in West  Date and venue of the programme. Africa (ABWA) Congress.  Name of course coordinator. The unstructured programmes include seminars, workshops,  For any programme outside Lagos, the organiser will meetings, etc. organised by either the Institute or other provide transport, accommodation and feeding for the organisations, ICAN Annual Dinner, ICAN Annual General monitor. Meeting, ICAN symposia, Council and Committee meetings, Examination exercises (invigilation, marking, extraction and pool setting), Retreats, Publications in the Institute’s journal, District OFFSHORE TRAINING PROGRAMME Societies meetings, facilitation at MCPE seminars and other events of the Institute. IN DUBAI Members that are deficient in the acquisition of the minimum The committee held an Executive Continuous Professional credit hours required are encouraged to make up for the deficient Education (ECPE) Programme in Dubai, from May 03 – 08, credit hours within the year by attending MCPE seminars to 2015. The theme of the programme was “Repositioning the enable them access the inherent benefits. Professionals for Better Performance.” A total of 44 delegates The following privileges would be denied members deficient in drawn from practice, private and public sectors, participated in MCPE hours requirement: the programme.  Sponsorship of students for registration, exemptions, examinations and registration for induction into membership; MCPE COMPLIANCE AND SANCTIONS  Sponsorship of graduate members for the Institute’s A member of the Institute is required to obtain a minimum of membership; 30 credit hours (which could be obtained solely from structured  Elevation to Fellowship; seminars or a combination of structured and unstructured  Obtaining and renewal of Practising Licence/Compliance seminars) in a year. The structured programmes are Mandatory Certificate; Continuing Professional Education (MCPE), Continuing  Membership of Committees; Professional Education (CPE), Executive Continuing Professional  Voting at Council Elections; Education (ECPE), and Executive Mandatory Continuing  Contesting Council Elections; and Professional Education (EMCPE), the Annual Accountants’  Occupying any executive position in a District Society.

his inaugural professorial presentation. During this presidential RESEARCH, TECHNICAL year, awards were made to two professors in Accounting: Professor Augustine Nweze, FCA of Enugu State University AND PUBLIC POLICY of Science & Technology and Professor Taiwo Asaolu, FCA of Obafemi Awolowo University, Ile-Ife. In accordance with its responsibility of conducting research Their inaugural lectures were titled: “Accounting: A into Accounting, Taxation, Auditing, Finance, Economics and Universal Business Language” delivered on 11th June 2015 related disciplines to expand the frontier of knowledge in the and “Privatisation in Nigeria, Regulation, Deregulation, profession and deliver results based on the terms of reference, the Corruption and the Way Forward” delivered on 27th October committee’s activities during the year were in the following areas: 2015 respectively. ACADEMIC CONFERENCE SYMPOSIUM ON FEDERAL The second edition of ICAN Academic Conference was GOVERNMENT BUDGET 2015 organised at the Lagos Airport Hotel, Ikeja from May 18 – 20, The committee organised the Annual Symposium on August 2016. Scholars from across the country and abroad participated 13, 2015 at the Shell Hall, MUSON Centre, Onikan, Lagos. in the two-day event which was aimed at: projecting the image of The theme of the symposium was – Come Back Nigeria: The the Institute as an educator on the one hand, and also providing Nation’s Fiscal Challenges and Way Forward for the New a platform for scholars both in the accountancy profession as well Administration. The event was attended by 1,001 delegates as related fields to broaden their knowledge and enhance their drawn from industry, commerce, banking, professional bodies, research skills. The conference provided a publication outlet for regulatory bodies, academia and other sectors of the Nigerian well-researched manuscripts. Papers presented at the conference economy. The Royal Father of the Day, His Highness, Muhammad were published as Conference Proceedings and a selected few Sanusi II, CON, Sarkin Kano and the Governor of Lagos State, published as a Special Edition of the Research Journal (IJAF). Mr. Akinwunmi Ambode, FCA, who was ably represented by his Deputy, Her Excellency, Dr. (Mrs.) Idiat Oluranti Adebule was the RESEARCH JOURNALS Special Guest of Honour. The department maintains the production of ICAN Journal of Accounting and Finance (IJAF). The seventh (7th) edition of the COMMENTS ON EXPOSURE DRAFTS (EDs) journal was successfully produced and copies were sold at the Comments on the following Exposure Drafts were forwarded 2015 Annual Accountants’ Conference. Two copies of the journal to the relevant bodies: were sent to each higher institution in Nigeria. The department — ED 56 on International Public Sector Accounting Standards has commenced the preparation for the 8th edition and efforts are and Recommended Practice Guideline (The Applicability of being made for the journal to be internationally indexed. IPSASs). — Proposed International Standard on Auditing (ISA) 810 COMMISSIONED RESEARCH (Revised) International Standard on Auditing™ (ISA™) 810, The Institute established Commissioned Research to provide Engagements to Report on Summary Financial Statements. grants to support research into Accounting and related fields. — National Code of Corporate Governance 2015 by FRC. During the year, a commissioned research titled: “A Survey Into Accounting Education in Nigeria” by Professor Olatundun Adelegan of Lead University, Ibadan was submitted. Research MUTUAL COOPERATION AGREEMENT is in progress on another work titled “Integrating Sustainability WITH TERTIARY INSTITUTIONS and Financial Reporting in Corporate Annual Reports in COMMITTEE Nigeria.” The research is being conducted by Professor Kenneth In pursuant of the Institute’s desire of partnering with tertiary Amaeshi (Edinburgh University, UK) and Mr. Innocent Okwuosa institutions to deepen accountancy education in the country, (Reading University, UK). it designed the Mutual Cooperation Agreement with Tertiary Institution (MCATI) programme. This programme will enable AWARD OF PhD RESEARCH GRANTS accredited tertiary institutions that sign up to the agreement to TO MEMBERS IN ACADEMIA enjoy special and expanded exemptions from nine (9) subjects The Institute, through the Committee, considered and of the professional examinations. The arrangement allows approved three (3) applications for PhD research grants following accounting graduates under the MCATI to proceed straight recommendations by external reviewers. In order to increase the to the skills level of the Institute’s examinations and only write number of annual awards, the Institute has reviewed the criteria two subjects and all the five subjects in the Professional level to for selection process for the grant. qualify as chartered accountants. To date, the following four institutions have signed agreement with the Institute to enjoy this opportunity. ICAN SPONSORSHIP OF INAUGURAL  North-West University, Kano, Kano State. PROFESSORIAL LECTURE  Federal University, Birnin Kebbi, Kebbi State. In order to encourage Institute members in academia aspire to  Micheal Okpara University of Agriculture, Umudike, the highest position in their academic career, the Council of the Abia State. Institute approved the sum of N1 million to an eligible applicant for  Abia State Polytechnic, Abba, Abia State.

THE INSTITUTE OF CHARTERED ACCOUNTANTS OF NIGERIA THE INSTITUTE OF CHARTERED ACCOUNTANTS OF NIGERIA 2015Annual Report & Financial Statements 30 2015Annual Report & Financial Statements 31 REPORTS of Committees of Council TO MEMBERS OF THE INSTITUTE

the Office of the Attorney General of the Federation (OAGF) to PROFESSIONAL gazette the 2014 edition of its Scale of Professional Fees. It is interesting to note that the Scale has not only been gazetted but PRACTICE MONITORING copies have been produced by the government printer and they are available for sale at ICAN offices and functions.

COMMITTEE The Professional Practice Monitoring Committee (PPMC) 4. CANCELLATION OF TCI carried out its responsibilities as contained in its terms of PROGRAMME reference. Below is the summary of the Committee’s activities The Technology Competence Initiative (TCI) designed by the during the period: Institute to enable members become Information Technology (IT) compliant has been cancelled. The Council approved the 1. UPDATE OF STATEMENTS OF Committee’s recommendation that the programme be cancelled MEMBERSHIP OBLIGATIONS (SMOs) due to several reasons cited by the Committee. However, both members and prospective members are AND DASHBOARD REPORT advised to continue to seek and acquire relevant information and The Committee submitted the reviewed and updated communication technology skills to enable them render effective Statement of Membership Obligations (SMOs) of the Institute to and efficient services to their clients or employers. It is important IFAC in 2015 and this has been hosted on the IFAC website. A to note that all the various TCI Centres and the Students have document known as Dashboard Report (DBR) was received from been duly informed about the cancellation. The Committee IFAC for review. wishes to state that by the cancellation, the Institute will no longer The DBR provides a summary of: require a certificate on TCI as a prerequisite for induction of newly  The status of adoption of international standards and best qualified chartered accountants. practices at the jurisdiction level, in this case Nigeria;

 The IFAC Member’s or Associate’s status of adoption of International Standards and best practices that apply to 5. PROFESSIONAL PRACTICE Professional Accountancy Organisations (PAOs); and MONITORING EXERCISE PHASES 13 AND 14  The level of a Member’s or Associate’s fulfillment of IFAC In line with its mandate to ensure regular review of the membership requirements. The Professional Practice operations of members in practice, the Committee continued the Monitoring carried out extensive review of the DBR. The practice monitoring exercise namely; Phases 13 and 14. A total final version of the document was submitted to IFAC of fifty eight (58) firms located in different parts of the country on December 31, 2015. IFAC will host the Dashboard were reviewed in both phases during the period. The report on Reports of Professional Accountancy Organisations on each of the firms was sent to the respective firms and they were their website at a future date. asked to state the action plans they will put in place to correct the shortcomings observed by the reviewers. Most of the firms have submitted their action plans as requested. 2. PPMC SEMINAR ON AUDITING It is also important to note that the reviewers’ reports showed STANDARDS, AUDIT QUALITY AND that practitioners need to improve on the quality of work they render to their clients. PRACTICE DEVELOPMENT In order to assist practitioners to render quality services to their clients, the Professional Practice Monitoring Committee (PPMC) organised seminars on Auditing Standards, Audit 6. ADOPTION OF AUDITING Quality and Practice Development in 2015. The seminar, which STANDARDS RELEASED BY IFAC was subsidised by the Institute, was aimed at addressing the knowledge and skill gaps observed during the practice review (ISAs AND ISQC 1) of various practice firms across the country. The seminar was a During the Presidential year, the Council approved the huge success given the number of participants that attended. It Committee’s recommendation that the Institute should adopt was held at different times in the following cities: Lagos, Abuja, rather than adapt the Auditing Standards released by IFAC. Port Harcourt, Ibadan and Enugu. Although the standards adapted by the Institute such as NSAs substantially complies with the International Standards on Auditing (ISAs), the Committee adduced the following reasons, among others, for their recommendation: enhanced credibility, 3. GAZETTING OF SCALE OF improved investors’ confidence, simplification of comparison PROFESSIONAL FEES between entities, transparency and cross border comparability, As part of its efforts to ensure that members charge and etc. The Committee is currently developing implementation obtain appropriate fees for their services, the Institute through guidelines and explanatory notes for the adoption of ISAs as Professional Practice Monitoring Committee (PPMC) liaised with directed by the Council.

FACULTIES Preamble There are seven Faculties created by Council of the Institute to serve as centres of excellence for the purpose of providing capacity building and technical support for Members in their different areas of specialisation. On a regular basis, the Faculties release newsletters by email to members in their different areas of professional interests. During the period under review, the Faculties undertook the following activities:

1. AUDIT, INVESTIGATIONS AND FORENSIC ACCOUNTING FACULTY

(i) Forensic Certification Training Programme The Faculty conducted two streams of six- modular certification training programmes for Otunba Olufemi Deru, 51st President of the Institute and Mr. Tunde Ajayi, Chairman a total of 116 members. A moot court session of the Board of Insolvency and Corporate Re-Engineering Faculty during the was held on Wednesday, December 2, 2015 Insolvency International conference which was attended by 35 candidates. The session exposed participants to simulated court scenarios and it trained 219 members on IFRS in Lagos, Kaduna and Abuja. groomed them towards becoming expert witnesses. Qualifying It also conducted examination in Lagos and Abuja for eligible examination was held on December 3, 2015. To date, the Faculty candidates in August, 2016. has produced 401 Certified Forensic Accountants. 5. INSOLVENCY AND CORPORATE (ii) Forum of Members Two forums of members were held on “Managing a RE-ENGINEERING FACULTY Contemporary Audit Practice” and “Starting Your Own Firm” The Faculty continued its sensitisation programme by holding respectively in September and November, 2015. The events were an International Insolvency Conference at Sheraton Hotels and attended by more than 200 members. Towers, Ikeja, Lagos in February, 2016. The event, which was declared open by the President, ably represented by the Vice

President, attracted paper presenters from Nigeria, India and 2. CONSULTANCY AND INFORMATION the United States. The conference recorded 162 participants. TECHNOLOGY FACULTY The Faculty plans to continue its 2-part certification training The Faculty extensively reviewed its existing curriculum for the programme for the award of Certified Insolvency Practitioner certification training of members of the Institute who are desirous (CIP) in the current year. of going into financial or information technology consultancy practice, or capacity development for existing practitioners. 6. PUBLIC FINANCE MANAGEMENT During the year, the Faculty conducted Examination and Viva Sessions for 18 eligible candidates for the award of Certified FACULTY The Faculty held a 3-day workshop on of the International Financial and IT Consultant (CFIC) qualification. Public Sector Accounting Standards Implementation, Challenges

and Solutions for its members and other key players in the public 3. CORPORATE FINANCE sector in partnership with the Office of the Accountant-General of MANAGEMENT FACULTY the Federation and the states offices of Accountants-General on The Faculty continued its capacity building function through capacity building for members and other stakeholders. release of newsletters and Forum of Members on topics of professional relevance. 7. TAXATION AND FISCAL POLICY MANAGEMENT FACULTY 4. FINANCIAL REPORTING FACULTY In line with its capacity building mandate, the Faculty organised The Faculty continued its certification training programme seminars on topical tax issues in Lagos, Port Harcourt and Kano for members and the general public on International Financial during the year under review. The Faculty also continued to Reporting Standards (IFRS), which it inherited from the Corporate release quarterly tax newsletter which it started in December Finance Management Faculty. During the year under review, 2012.

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11. Top Professional Solutions, Port Harcourt, Rivers State. STUDENTS’ AFFAIRS 12. Summit Professional Tutors, Port Harcourt, Rivers State. 13. Knights Business School, Oyingbo, Lagos State. DIRECTORATE 14. Integrity Professional Academy, Warri, Delta State.

REGISTRATION/EXEMPTION ICAN SCHOLARSHIP SCHEME A total of Seven Thousand and Fifty-Six (7,056) students The Institute has put in place a strategy which will make were registered during the year under review. This brings Accounting Profession more attractive to the brightest youths from the total number of registered students to Two Hundred and all Universities and Polytechnics. The scholarship programme is Seven Thousand, Four Hundred and Fifty-Seven (207,457) as to elicit the interest of Nigerian youths as well as attract the best at December 2015. While Four Thousand, Seven Hundred and brains into the Accounting Profession. This is also in compliance Fifty-Three (4,753) were granted exemptions from various levels with the social responsibility programme of the Institute to the of the Professional Examination from January to December society. 2015. Three Thousand, Three Hundred and Seventy-One (3,371) A total of Sixty (60) students out of Eighty-Three (83) students were registered for the Accounting Technicians Scheme applications that benefitted from the Scholarship Scheme sat West Africa (ATSWA) in the year under review bringing the total for various levels of the Professional Examination in May and number of registered ATSWA students to One Hundred and Seven November 2015, bringing the total number of beneficiaries to One Thousand, Nine Hundred and Twenty-Nine (107,929) while Three Hundred and Thirty-Nine (139). Hundred and Sixty-Eight Thousand students (368) were granted Detailed information on the Scheme for all interested and Exemption from various levels of ATWA. qualified students can be obtained from the Institute’s website.

ACCREDITATION CATCH THEM YOUNG PROGRAMME Fifteen (15) Universities and One (1) Polytechnic that met the The Catch Them Young Programme is an initiative designed to: required educational standard of the Institute were accorded full  Create awareness among students about the career accreditation status during the year while Fourteen (14) Tuition opportunities available to them through the Institute of Centres were granted recognition as approved training centres Chartered Accountants of Nigeria’s platform. for the Institute’s Examination. The Institutions are:  Take ICAN to the grassroots with a view to making them Universities understand the profession early. 1. Bowen University, Iwo, Oyo State.  Promote the sense of self-employment/entrepreneurship, 2. Caleb University, Imota, Lagos State. future prospects and personal interest among the students. 3. Crawford University, Igbesa, Ogun State.  Create a sense of commitment to excellence among 4. Cross River University of Technology, Ogoja Campus, students and teachers of commercial subjects in Cross River State. secondary schools. 5. Kogi State University, Anyigba, Kogi State.  Enhance the quality of commercial education in our 6. Landmark University, Omu-Aran, Kwara. Secondary Schools. 7. Paul University, Awka, Anambra State.  Promote a platform for socio-academic interaction among 8. Western Delta University, Oghara, Delta State. the commercial Secondary School students. 9. Igbinedion University, Okada, Edo State. Consequently, it will boost the candidature of the Accounting 10. Madonna University, Okija, Anambra State. Technicians’ Scheme West Africa (ATSWA) and eventually, the 11. Bells University, Ota, Ogun State. Professional Examinations of the Institute. 12. Al-Hikmah University, Ilorin, Kwara State. The Institute had run the programme in twenty (20) states of 13. Nnamdi Azikiwe University, Akwa, Anambra State. the country including the six (6) Educational Districts in Lagos 14. Adekunle Ajasin University, Akungba, Akoko, Ondo State. State since inception in 2014 and still counting. 15. University of Uyo, Uyo, Akwa-Ibom State. Polytechnics HIGH SCHOOL RESIDENCY 1. Federal Polytechnic, Ede, Osun State. The High School Residency is an invitational programme for all accounting and non-accounting students who may desire Tuition Houses to pursue accountancy as a profession. The programme is 1. Accuracy Tutors, Aba, Abia State. designed to encourage the brightest students to make a career 2. Atlas Professionals Limited, Ota, Ogun State. in accountancy and also leverage its limitless possibilities, 3. Excellent Tutors, Abakaliki, Ebonyi State. opportunities and benefits of earning the Chartered Accountant’s 4. Globa Focus Initiative Consulting Company, Abuja FCT. qualification of ACA. 5. JK Consulting Co. Ltd., Abuja FCT. The programme will prepare students for the many opportunities 6. Precept with Passion Consulting, Agege, Lagos State. that lie ahead in the corporate setting. It will assist students in 7. Protract Associates Limited, Ikorodu, Lagos State. building a core set of skills and strong ethical orientation. As 8. Risk Free Standards Associates Limited, Obanikoro, planned, the programme will hold in the six geo-political zones Lagos State. of the country. The maiden edition was held at Bells University 9. Students SWOT & Associates, Enugu, Enugu State. of Technology, Ota, Ogun State in August, 2015 with over 300 10. Starrygold Academy, Oregun, Lagos State. students from 12 Tertiary Institutions in attendance.

Government, was commissioned on October 26, 2015 by the 51st STUDENTS’ SPECIAL President, Otunba Samuel Olufemi Deru during a well attended ceremony at which the Executive Governor of Gombe State, PROJECT Alhaji (Dr.) Ibrahim Hassan Dankwambo, FCA, was the Guest of Honour. The Students Special Project (SSP) was initiated by the The Institute is following up on Governments and Individuals Governing Council of the Institute in its effort to expand who had either made promises to, or who had been approached studentship in educationally less-developed parts of the country by the Institute with proposals to establish SSP Centres in as well as improve the quality of Chartered Accountants and partnership with the Institute. They are Jigawa, Anambra, Abia, address the dismal performance of candidates at the Institute’s Imo and Taraba State Governments as well as Masters Energy Professional Examinations over the years which had been traced Oil and Dangote Group. to the following reasons:  Poor academic background of students; Rent Waiver  Lack of good tuition facilities; The Kano State Government which had housed the NNDC/  Poor and inadequate preparation; and ICAN Study Centre in its Library Board Complex since its  Dearth of qualitative study materials. inception in 2008 at an annual rent payment of N1.2 million, had graciously agreed to a waiver of the arrears of 2014, 2015 and the current year 2016 owed by the study centre as well as the CHARTERED ACCOUNTANTS PRODUCED future rent with effect from March 2016. Consequently, rent shall BY THE ICAN CENTRES TO DATE no longer be paid in respect of the centre. As at the end of the November 2015 Diet Examinations the following number of Chartered Accountants were produced by CURRENT PARTNERS ON THE PROJECT the different centre:  New Nigeria Development Company Ltd. through which four centres were established as follows: S/N Centre No. of Inception — NNDC/ICAN Study Centre, Kaduna; Candidates Date — NNDC/ICAN Study Centre, Kano; 1. KANO 204 2008 — NNDC/ICAN Study Centre, Ilorin; and — NNDC/ICAN Study Centre, Gombe. 2. KADUNA 201 2007  The Bayelsa State Government through which BYSG/ 3. ILORIN 152 2008 ICAN Study Centre, Yenagoa was established. The centre is being partly run by the Yenagoa & District Society with 4. CALABAR 93 2008 administrative support from the Institute. 5. BAYELSA 76 2007  The Cross River State Government through which CRSG/ICAN Study Centre, Calabar was established. The centre The breakdown is as shown below. was officially handed over to the Cross River State Government in February 2013. MILESTONES UPCOMING LAUNCH OF SPONSORSHIP New Centre PROGRAMME The Institute added a new Centre, the ICAN/NNDC Study The Institute is collaborating with NNDC to seek partnership Centre in Gombe, to its existing five SSP Centres making a total with other interested stakeholders, namely, State Governments, of six to date under its agreement with NNDC. The new Centre Parastatals, Corporate Organisations, philanthropists and well- whose initial funding capital was donated by the Gombe State meaning individuals on the project.

CENTRE MAY NOV. MAY NOV. MAY NOV. MAY NOV. MAY NOV. MAY NOV. MAY NOV. MAY NOV. MAY NOV. TOTAL

2007 2007 2008 2008 2009 2009 2010 2010 2011 2011 2012 2012 2013 2013 2014 2014 2015 2015

KADUNA 3 2 8 13 13 33 20 30 27 13 7 10 8 6 3 3 2 201

ILORIN 3 8 21 14 7 18 14 13 9 9 8 13 0 3 12 152

CALABAR 0 4 7 13 16 11 10 8 4 1 3 8 0 1 7 93

BAYELSA 1 5 2 5 8 10 9 4 1 3 3 8 4 3 1 5 4 76

GOMBE 0 0

KANO 4 8 20 11 24 28 25 19 21 3 9 4 10 2 5 11 204

THE INSTITUTE OF CHARTERED ACCOUNTANTS OF NIGERIA THE INSTITUTE OF CHARTERED ACCOUNTANTS OF NIGERIA 2015Annual Report & Financial Statements 34 2015Annual Report & Financial Statements 35 REPORTS of Committees of Council TO MEMBERS OF THE INSTITUTE

OBJECTIVES ICAN PROJECTS The objectives of the Students’ Special Project are: In addition to the four lecture theatres built and commissioned — To identify areas and indigenous students of educationally by the Institute in the 2014/2015 presidential year and the on- less developed parts of the country; going project at the Federal University of Birnin Kebbi, Kebbi — To expand studentship in educationally less developed State, Council has approved the construction of six more lecture parts of the country; theatres in the following Institutions: — To facilitate establishment of standard tuition centres in i. The Polytechnic, Ibadan (IbadanPoly); these areas; ii. Michael Okpara University of Agriculture (MOUA), — To create awareness in these areas about the availability Umudike; of such a scheme; iii. Ahmadu Bello University (ABU), Zaria; — To encourage States, Local Governments, Private- and iv. Olabisi Onabanjo University (OOU), Ago Iwoye; Public Sector-Institutions to provide facilities for standard v. University of Port Harcourt (UniPort), Port Harcourt; tuition centres, grant scholarships, bursary awards and vi. Yaba College of Technology (YabaTech), Yaba. other assistance to deserving indigenous students in educationally less developed areas of the country; and The Polytechnic, Ibadan ICAN Lecture theatre was — To encourage and assist indigenous students in commissioned on February 23rd while the foundation of the educationally less developed parts of the country to take project in Michael Okpara University of Agriculture, Umudike was the Institute’s Examinations with a view to rapidly producing laid on February 3rd, 2016 by the 51st ICAN President, Otunba a desirable number of Chartered Accountants there from. Femi Deru, FCA In the last thirteen years, the SSP Committee anchoring the The construction of the lecture theatres in ABU, UniPort, OOU project, which comprises members from different parts of the and YabaTech will commence after the award of contracts by the country, has worked assiduously towards attaining the foregoing Major Tenders Board. objectives.

ICAN President, Otunba Olufemi Deru (right); Alhaji Ganiu Adebayo, FCA, chairman Ibadan & District; Prof. Olatunde Fawole, Rector The Polytechnic, Ibadan; and Registrar/Chief Executive of ICAN, Mr. Rotimi Omotoso at the commissioning of ICAN Lecture Theatre at The Polytechnic, Ibadan Status of ICAN Projects as at March 2016

Project Contractor Consultant Commencement Completion 1 OAU (Ile-Ife) AB Design & Company Eagle Projects Services Nig. Ltd. November 2014 April 2015 2 UniBen (Benin) Tegha & Associates Nig. Ltd. Eagle Projects Services Nig. Ltd. November 2014 April 2015 3 UNN (Enugu) Calvarini Nigeria Ltd. Eagle Projects Services Nig. Ltd. November 2014 April 2015 4 NWU (Kano) Arid Builders Nigeria Ltd. Design Plus December 2014 April 2015 5 FU (Birnin Kebbi) Al-Amin Engr. Services Ltd. Design Plus May 2015 6 The Polytechnic Ibadan AB Design Eagle July 2, 2016 February 23, 2016 7 MOUOAU (Umudike) Calvarini Nigeria Ltd. Eagle February 3, 2016 8 ABU, Zaria 2016 9 OOU, Ago Iwoye 2016 10 UniPort, Port Harcourt 2016 11 YabaTech, Yaba 2016

PROFESSIONAL EXAMINATIONS The Professional Examinations took place in May and November 2015 with 13,277 and 13,411 candidates respectively. They were conducted in thirty-eight centres in various parts of Nigeria, one centre each in Cameroon and London. The Institute continued to enhance the Information Technology deployment to the examination processes. The effect was tremendous. The breakdown of the candidates for both examinations is stated below: -

Level May 2015 Level November 2015 Foundation 1,604 Foundation 1,527 Skills 9,143 Skills 9,169 Professional 2,530 Professional 2,715

TOTAL 13,277 TOTAL 13,411

MAY 2015 DIET

(a) MERIT PRIZES

FOUNDATION

Name Examination No. Registration No. Award

Adeniyi Oluwagbenga Segun 20151/101600/F/12345 201951 1st

Ibideji Olumide Oluwagbenga 20151/101182/F/2345 203015 2nd

Olumuyiwa Segun John 20151/101390/F/2345 203425 3rd

SKILLS

Name Examination No. Registration No. Award

Adebisi Adebayo Innocent 20151/207196/S/1456 202930 1st

James Kayode Adeleke 20151/204706/S/2356 189181 2nd

Audu Sandra Eleojo 20151/205285/S/1456 199963 3rd

PROFESSIONAL

Name Examination No. Registration No. Award

Ijilana Fadeshola Cynthia 20151/301776/P/12345 191066 1st

Onabanjo Adetola Oluwatosin 20151/302450/P/12345 201413 2nd

Salau Adeyemi Waheed 20151/302471/P/12345 196578 3rd

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(b) SUBJECT PRIZES

Level Subject Prize Winner

FOUNDATION

20151/101182/F/2345 203015 Financial Accounting Late Sir John A. Balogun Ibideji Olumide Oluwagbenga

I.O. Sulaimon 20151/101095/F/2345 202982 Business Law Princess A.A. Adeniran Chinwego Chinwike Stanley

Economics & Business M.B. Taiwo 20151/100616/F/2345 200049 Environment/Business & Finance J.A. Owoseni Momoh Ogie Anointing

Quantitative Techniques in 20151/101600/F/12345 Mr. M. Ayo Oni Business 201951 Adeniyi Oluwagbenga Segun

Late Chief E.F. Oke 20151/100608/F/234 201549 Management Information Late Prof. M.A. Adeyemo Ibrahim Anifowoshe Luqman

SKILLS

Taxation Late Z.O. Ososanya Nil

Auditing and Assurance N.L. Westgarth Nil

Business Comm. and Research Sir Ike Nwokolo Nil Methodology

Performance Management G.J. Burk Nil

Financial Reporting S.B. Baylis-Smith Nil

Management, Governance PricewaterHouseCoopers Nil & Ethics

Public Sector Accounting Balogun J.O. Omidiora Nil & Finance

PROFESSIONAL

Arthur Young, Osindero Corporate Reporting Nil & Moret

Advanced Audit & Assurance J.M.T. Morris & KPMG Nil

Dr. Bola Kuforiji-Olubi Strategic Financial Management Nil Elder M.E. Daniels

Akintola Williams & Co. Advanced Taxation Nil Olushola Adekanola

Case Study KPMG Nil

► SWAN Prize for the best qualifying female candidate for the diet:

Level Name Examination No. Registration No.

PROFESSIONAL Ijilana Fadeshola Cynthia 20151/301776/P/12345 191066

► Akintola Williams Delloite and Touche Prize for the best qualifying candidate in a diet:

Level Name Examination No. Registration No.

PROFESSIONAL Ijilana Fadeshola Cynthia 20151/301776/P/12345 191066

NOVEMBER 2015 DIET

(a) MERIT PRIZES

FOUNDATION LEVEL

Name Examination No. Registration No. Award

Enekwe Ikechukwu Sylvester 20152/101081/F/234 206007 1st

Akinola Oladayo Nurudeen 20152/100438/F/234 205950 2nd

Otunla Oluwaseyi 20152/100522/F/234 204709 3rd

SKILLS LEVEL

Name Examination No. Registration No. Award

Ogunmuko Olaoluwa Oluwatosin 20152/205081/S/1456 204375 1st

Adebisi Adedolapo Hilary 20152/207571/S/1456 204581 2nd

Dawodu Omoteniola Monsurat 20152/205625/S/123456 203609 3rd

PROFESSIONAL LEVEL

Name Examination No. Registration No. Award

Okewole Ronke 20152/302641/P/1345 151384 1st

Agboola Rasheedat Bimpe 20152/300575/P/1345 180568 2nd

Eniang Esther Etim 20152/301672/P/12345 197403 3rd

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(b) SUBJECT PRIZES

Level Subject Prize Winner

FOUNDATION

20152/100601/F/234 197497 Financial Accounting Late Sir John A. Balogun Oni Oluwabusayo Olanrewaju

I.O. Sulaimon 20152/100522/F/234 204709 Business Law Princess A.A. Adeniran Otunla Oluwaseyi

Economics & Business M.B. Taiwo Nil Environment/Business & Finance J.A. Owoseni

Quantitative Techniques in 20152/100045/F/12345 203884 Mr. M. Ayo Oni Business Iji Kolawole Babatunde

Late Chief E.F. Oke 20152/101081/F/234 206007 Management Information Late Prof. M.A. Adeyemo Enekwe Ikechukwu Sylvester

SKILLS

20152/208145/S/135 199026 Taxation Late Z.O. Ososanya Iyizoba Theresa Odera

20152/207682/S/236 197890 Auditing and Assurance N.L. Westgarth Agomo Eberechi

Business Comm. and Research Sir Ike Nwokolo Nil Methodology

20152/205081/S/1456 204375 Performance Management G.J. Burk Ogunmuko Olaoluwa Oluwatosin

20152/205676/S/146 194700 Financial Reporting S.B. Baylis-Smith Ogungbola Aminat Adesewa

Management, Governance 20152/208634/S/156 166807 PricewaterHouseCoopers & Ethics Oziri Uche Celestine

Public Sector Accounting 20152/200758/S/456 179154 Balogun J.O. Omidiora & Finance Bolaji Samuel Omotomoye

PROFESSIONAL

Arthur Young, Osindero 20152/300882/P/145 178676 Corporate Reporting & Moret Ogbue Nelson Christopher

20152/301672/P/12345 197403 Advanced Audit & Assurance J.M.T. Morris & KPMG Eniang Esther Etim

Dr. Bola Kuforiji-Olubi 20152/300875/P/134 191108 Strategic Financial Management Elder M.E. Daniels Odusanya Femi Dare

Akintola Williams & Co. 20152/302606/P/134 201353 Advanced Taxation Olushola Adekanola Essien Uforo Anietie

20152/302641/P/1345 151384 Case Study KPMG Okewole Ronke

► SWAN Prize for the best qualifying female candidate for the diet:

Level Name Examination No. Registration No.

PROFESSIONAL Okewole Ronke 20152/302641/P/1345 151384

► Akintola Williams Delloite and Touche Prize for the best qualifying candidate in a diet:

Level Name Examination No. Registration No.

PROFESSIONAL Okewole Ronke 20152/302641/P/1345 151384

► Akintola Williams Prize for the best qualifying candidate in a year:

Level Name Examination No. Registration No.

PROFESSIONAL Okewole Ronke 20152/302641/P/1345 151384

ICAN Prize Winners

THE INSTITUTE OF CHARTERED ACCOUNTANTS OF NIGERIA THE INSTITUTE OF CHARTERED ACCOUNTANTS OF NIGERIA 2015Annual Report & Financial Statements 40 2015Annual Report & Financial Statements 41 REPORTS of Committees of Council TO MEMBERS OF THE INSTITUTE

(b) CONCLUDED CASES LEGAL MATTERS The Tribunal concluded one (1) case as follows: « A No Case Submission by a Respondent’s Counsel was upheld. Respondent was therefore discharged. 1. INVESTIGATING PANEL Between July 2015 and January 2016, the Investigating Panel considered a total of thirty-two (32) cases. 3. STUDENTS’ INVESTIGATING COMMITTEE (a) PENDING CASES Between July 2015 and January 2016, the Students’ The Investigating Panel is currently considering twenty-eight Investigating Committee considered a total of twenty-three (23) (28) cases of alleged Professional Misconduct. cases. The nature of the cases are briefly classified as follows: ● Misappropriation of Funds — 10 (a) PENDING CASES ● Defective Audit Report — 2 The Students’ Investigating Committee is currently considering ● Unethical Practice with regards to Audit work — 3 ten (10) cases. ● Unethical Conduct as a staff — 1 The nature of the cases are briefly classified as follows: ● Financial Dispute — 5 ● Alleged unethical Conduct as an employee — 4 ● Others — 7 ● Alleged misappropriation of funds/Fraud — 6

Total = 28 Total = 10

(b) CASES REFERRED FROM THE (c) CONCLUDED CASES INVESTIGATING PANEL TO THE The Students’ Investigating Committee has concluded eleven (11) cases of examination misconduct and malpractices, one (1) DISCIPLINARY TRIBUNAL case of application to withdraw accreditation granted a certain In the period under review, no matter was referred to the school and one (1) case of alleged misappropriation of funds/ Accountants’ Disciplinary Tribunal. fraud.

(c) CONCLUDED CASES The Panel concluded one case relating to unethical practice 4. AAT INVESTIGATING COMMITTEE with regards to audit work and set aside three cases for not There is no pending case currently before the AAT Investigating complying with the condition precedent for commencement of Committee. investigations, i.e. submission of affidavit evidencing complaint.

2. DISCIPLINARY TRIBUNAL The Accountants’ Disciplinary Tribunal considered a total of eleven (11) cases of alleged professional misconduct between July 2015 and January 2016. The cases are as follows:

(a) PENDING CASES There are ten (10) cases presently pending at various stages of hearing, which have not been concluded. The cases are classified as follows: ● Unethical Practice with regards to audit work — 2 ● Defective Report — 1 ● Dispute on the appointment of new auditor — 0 ● Misappropriation of Funds — 5 ● Financial dispute — 2

Total = 10

PUBLICATIONS & IMAGE INSTITUTE’S IMAGE The Publications and Image Committee (PIC) of the Institute during the year pursued its goal vigorously to ensure that the Institute’s image continued to reflect its world-class nature. During the year, the dissemination of information to both the Institute’s internal and external publics was very effective and timely, while all the notable activities of the Institute were adequately covered by both the print and electronic media.

INSTITUTE’S PUBLICATIONS The quarterly journals of the Institute, The Nigerian Accountant for members and the ICAN Students’ Journal; as well as the Annual Report and Financial Statements were timely produced. The soft copy of each edition of The Nigerian Accountant and the ICAN Students’ Journal are also ICAN President, Otunba Olufemi Deru, FCA presenting the ICAN Merit Award available on the Institute’s website. to the Immediate Past President of ICAN, Mr. Chidi Onyeukwu Ajaegbu, FCA Copies of the publications were used by the President as in the Members’ category at the Annual Dinner and Awards part of Public Relations items packaged for dignitaries during Presidential tours of ICAN District Societies and other official visits, to further enlighten stakeholders and boost the image of the Institute.

ANNUAL DINNER AND MERIT AWARDS The Annual Dinner and Awards was held at Oriental Hotel, Victoria Island, Lagos on Friday, April 29, 2016. The Dinner brought together members of the accountancy profession and other invited guests both from private and public sectors of the economy to socialise. Awards were given to some outstanding individuals and corporate body for the impact they made on the Institute and the society in general. The recipients are in different categories: a) Members category b) Non-members category c) Corporate Body Category The President presenting the award to Mr. Philip Odaro Omoregie, FCA in the Members’ category MEMBERS’ CATEGORY Council was conducted strictly via the internet (e-voting) on the a) Sir Nwaubani Chukwuma Hope, FCA Institute’s website. b) Mr. Omoregie Phillip, JP, FCA Members were required to upload their profiles on the ICAN c) Mr. Ajaegbu Chidi Onyeukwu, FCA (IPP) website, giving their e-mail addresses and GSM numbers. A dedicated pin code was later sent to each member’s e-mail NON-MEMBERS’ CATEGORY through which they gained access to the voting portal. a) Chief Ade-Ojo Michael Eight vacancies were declared in Council – five (5) In-practice b) Professor Ihendinihu John Uzoma and three (3) Not-In-Practice. Nominations were received from members nominating the CORPORATE BODY CATEGORY following people for election in the two categories: Fidelity Bank Plc MEMBERS IN PRACTICE CATEGORY 2016 ELECTION INTO COUNCIL a) Okwuadigbo Nnamdi Anthony (Mazi) In line with International best practice, it became expedient b) Atu Omimi-Ejoor Osaretin Kingsley (Dr.) for the Institute to upgrade its information technology channels c) Bammeke Sunday Abayomi (Mr.) to enhance communication with members. The 2016 election to d) Ozoya Hart Wahab Odafen (Rev.)

THE INSTITUTE OF CHARTERED ACCOUNTANTS OF NIGERIA THE INSTITUTE OF CHARTERED ACCOUNTANTS OF NIGERIA 2015Annual Report & Financial Statements 42 2015Annual Report & Financial Statements 43 REPORTS of Committees of Council TO MEMBERS OF THE INSTITUTE

ICAN Registrar/ Chief Executive, Mr. Rotimi Omotoso presenting Air France return ticket won by the Head, Internal Audit, Wemy Industries Ltd., Mr. Okereke Chimaobi at the Annual Dinner and Awards

Otunba Olufemi Deru presenting the award to Chief (Sir) Chukwuma Hope Nwaubani, FCA in the Members’ category FINANCE & GENERAL PURPOSES COMMITTEE (F&GPC) ● More pro-active ways of subscription recovery: è Easy access to payment portal on ICAN Website. è Weekly display of Financial members’ list on ICAN website. è Demand notes for year 2015 subscription were sent to all members promptly through e-mails and SMS. ● Formulation of Investment Policy for the Institute. ● Effective and Efficient working Capital Management. ● Sum assured on members’ Group Life Assurance Policy of N1.5 million is still in force. Otunba Olufemi Deru presenting the award to Sir (Chief) ● Strict adherence to budgetary provisions. Michael Ade Ojo in the Non-members’ category ● Enhanced staff welfare through staff promotion, training (local and overseas) and review of salary package. e) Adeleke Solomon Oluwole (Deacon) f) Anyanechi chibuzor Noel (Mr.) g) Erobu Uchenna Ifesinachi (Mrs.) h) Eyitayo Comfort Olujumoke (Mrs.) i) Oyetayo Olusola Oladeji (Mr.) j) Disu Samson Adewale (Rev.) k) Ajomale Afolabi Abiodun (Chief) l) Smith Oladipo (Mr.)

MEMBERS NOT IN PRACTICE CATEGORY a) Akinsulire Oyemolu Olugbenga (Chief) b) Akibayo Titilola Ariyike Nurat (Mrs.) c) Babatunde Shakirat Adepeju (Mrs.) d) Olaolu-Adewuyi Onome Joy (Mrs.) e) Olanrewaju Oluseyi Oladimeji (Mr.) f) Olutayo Phillips (Mr.) g) Williams Josephine Oluseyi (Mrs.)

Members voted via the ICAN website and the results were downloaded and collated by the Scrutineers appointed Vice President of the Institute, Deacon Titus Soetan; the 51st President, Otunba by Council. The results of the election will be announced at Olufemi Deru; Mallam Ismaila Usman (Past President); and Registrar/Chief this AGM. Executive, Mr. Rotimi Omotoso during a courtesy visit to the Past President

THE INSTITUTE OF CHARTERED ACCOUNTANTS OF NIGERIA THE INSTITUTE OF CHARTERED ACCOUNTANTS OF NIGERIA 2015Annual Report & Financial Statements 42 2015Annual Report & Financial Statements 43 Annual FINANCIAL STATEMENTS FOR YEAR ENDED 31 DECEMBER 2015

45 Report of the Independent Auditors

46 Honorary Treasurer’s Report 47 Statement of Financial Position

48 Statement of Comprehensive Income

49 Statement of Cash Flows

50 Statement of Changes in Members’ Funds

52 Notes to the Financial Statements

80 Statement of Value Added

81 Five-year Financial Summary

THE INSTITUTE OF CHARTERED ACCOUNTANTS OF NIGERIA THE INSTITUTE OF CHARTERED ACCOUNTANTS OF NIGERIA 2015Annual Report & Financial Statements 44 2015Annual Report & Financial Statements 45 Report of the INDEPENDENT AUDITORS TO THE MEMBERS OF THE INSTITUTE OF CHARTERED ACCOUNTANTS OF NIGERIA

Report on the Financial Statements We have audited the accompanying financial statements of The Institute of Chartered Accountants of Nigeria (“The Institute”). These financial statements comprise the statement of financial position as at 31 December 2015 and the statements of comprehensive income, changes in members’ funds and cash flows for the year then ended, and a summary of significant accounting policies and other explanatory notes.

Council’s Responsibility for the Financial Statements The Council are responsible for the preparation and fair presentation of these financial statements in accordance with International Financial Reporting Standards and with the requirements of The Institute of Chartered Accountants of Nigeria Act and for such internal control, as the Council determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

Auditors’ Responsibility Our responsibility is to express an opinion on the financial statements based on our audit. We conducted our audit in accordance with Nigeria Standards on Auditing. Those standards require that we comply with ethical requirements and plan and perform our audit to obtain reasonable assurance that the financial statements are free from material misstatement. An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the financial statements. The procedures selected depend on the auditor’s judgement, including the assessment of the risks of material misstatement of the financial statements, whether due to fraud or error. In making those risk assessments, the auditor considers internal control relevant to thes entity’ preparation and fair presentation of the financial statements in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the entity’s internal control. An audit also includes evaluating the appropriateness of accounting policies used and the reasonableness of accounting estimates made by the Council, as well as evaluating the overall presentation of the financial statements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Opinion In our opinion, the accompanying financial statements give a true and fair view of the state of the Institute’s financial affairs at 31 December 2015 and of its financial performance and cash flows for the year then ended in accordance with International Financial Reporting Standards and the requirements of The Institute of Chartered Accountants of Nigeria Act.

For: PricewaterhouseCoopers For: UHY Maaji Chartered Accountants Chartered Accountants Lagos, Nigeria. Lagos, Nigeria. 9 May 2016 9 May 2016

Engagement Partner: Edafe Erhie, FCA Engagement Partner: Gabriel Idahosa, FCA FRC/2013/ICAN/00000001143 FRC/2014/ICAN/00000009524

THE INSTITUTE OF CHARTERED ACCOUNTANTS OF NIGERIA THE INSTITUTE OF CHARTERED ACCOUNTANTS OF NIGERIA 2015Annual Report & Financial Statements 44 2015Annual Report & Financial Statements 45 HONORARY TREASURER’s Report TO MEMBERS OF THE INSTITUTE

Distinguished members, ladies and gentlemen, it is my pleasure to welcome you all to the 51st Annual General Meeting of the Institute of Chartered Accountants of Nigeria and to present the year 2015 Financial Statements which were considered and recommended by the Council at its meeting of April 21, 2016 for your consideration and approval. Below are the highlights of the year 2015 Financial Statements:

INCREASE/ INCREASE/ YEAR 2015 YEAR 2014 DECREASE DECREASE N’000 N’000 N’000 % TOTAL ASSETS 3,692,400 3,606,931 85,469 2.37% TOTAL LIABILITIES 251,787 239,428 (12,359) (5.16%) TOTAL FUNDS AND RESERVES 3,440,613 3,367,503 73,110 2.17% ACCUMULATED FUNDS 1,020,356 1,030,048 (9,692) (0.94%) TOTAL INCOME 2,050,514 1,905,012 145,502 7.64% TOTAL EXPENDITURE 1,951,941 1,918,609 (33,332) (1.74%) TOTAL SURPLUS/(DEFICIT) FOR THE YEAR 65,354 (11,875) 77,229 650.35%

COMMENTS ON THE OPERATING RESULTS AND MAJOR BALANCE SHEET ITEMS

The performance for the year under review produced a better result than the preceding year in terms of assets creation and surplus. A surplus of N65.354 million in year 2015 as against N11.875 million deficit recorded in year 2014. There was marked improvement on the income heads, particularly on the self-financing projects (Examinations, MCPE, Conferences, Fellowship conferment and new members’ inductions) due to certain measures introduced by your Council to increase participation in those activities and revenue. These amongst others include innovative strategies towards subscription recoveries and delisting of members owing subscription in arrears of two years, which are now yielding positive results. There was a drop on the bank interest due to the fall in interest rates and the fiscal measures introduced by CBN in the year. Generally, our cost had been well managed recording a slight increase of 1.74% despite the inflation rate and elaborate programmes of the Institute in the year. The cost control measures were duly strengthened during the year to achieve this result. The Institute’s total asset grew by N85 million over the recorded figure of N3.6 billion in year 2014. Moreover, there was N73.1 million improvement on Funds and Reserves as a result of the establishment of the students text revolving fund and students development & support fund by Council during the year. Recognising students and examination as our flagship, the funds are available to meet expenditure on the printing and distribution of study texts to students, as well as development and support of students writing the Institute’s examinations. There was strict adherence to budget provisions throughout the year under review. Authority was matched with responsibility by insisting on Committee Chairmen authorising, attainable and attributable cost to the various committees. Extra budgetary requests were not entertained in the year. Our financial obligations to IFAC, PAFA and ABWA were adequately met and the Institute was appointed to serve on more committees by these international bodies. The total amount incurred in the year was N123 million (N118 million in year 2014). The Institute celebrated its 50th Anniversary in the year under review and a special anniversary book christened “INDELIBLE FOOTPRINT: THE ICAN STORY’’ which is a must read for all members and members of the public was printed as part of the celebrations. Towards the end of the year under review, your Institute commenced the upgrade of its Information Technology infrastructure including the deployment of Microsoft Navision ERP towards improving the overall processes and service delivery of the Institute. In fulfilment of Council’s desire to ensure that members get value for their financial commitment to the Institute, the sum assured of N1.5 million on the Group Personal Assurance was sustained for all financial members. Council continues to ensure that all families of our deceased financial members are promptly settled. Finally, we give glory to God Almighty for the success recorded in the year and the opportunity given me to be of service to our great Institute in the capacity of the Honorary Treasurer.

Olutayo Phillips MBA, FCA Honorary Treasurer

MAY 6th, 2016

THE INSTITUTE OF CHARTERED ACCOUNTANTS OF NIGERIA THE INSTITUTE OF CHARTERED ACCOUNTANTS OF NIGERIA 2015Annual Report & Financial Statements 46 2015Annual Report & Financial Statements 47 Statement of FINANCIAL POSITION AS AT 31 DECEMBER 2015

31 December 31 December Notes 2015 2014 ASSETS N’000 N’000 Non-current Assets Property, plant and equipment 13 863,804 806,237 Intangible assets 14 49,484 5 Investment property 15a 1,638,000 1,458,000 Available-for-sale investments 16 64,450 85,545 Loans and receivables 17(b) 11,435 9,770

Total non-current assets 2,627,173 2,359,557

Current Assets Loans and receivables 17(b) 30,735 31,517 Inventories 18 94,828 200,052 Subscription and other receivables 19 107,416 104,612 Prepayment 20 63,952 32,102 Deferred expense 21 5,894 6,461 Cash and cash equivalents 22 762,402 872,630

Total current assets 1,065,227 1,247,374

Total assets 3,692,400 3,606,931

FUNDS AND RESERVE Accumulated fund 26(a) 1,020,356 1,030,048 Other charitable and trust funds 26(b) 2,420,257 2,304,236 Available-for-sale reserve – 33,219

Total funds and reserve 3,440,613 3,367,503

Non-current liabilities Deferred income 25 6,386 12,606

Total non-current liabilities 6,386 12,606

Current liabilities Trade and other payables 24 245,401 226,822

Total current liabilities 245,401 226,822

Total liabilities 251,787 239,428

Total reserves and liabilities 3,692,400 3,606,931

The financial statements were approved and authorised for issue by Council on ……….….…………..April 21, 2016 and signed on its behalf by:

…………………………………………………… ……………………………………………………… Vice-President Honorary Treasurer FRC/2013/ICAN/00000000091 FRC/2014/ICAN/00000007011

……………………………………………… Registrar/Chief Executive FRC/2013/ICAN/00000004466

The notes on pages 52 to 79 are an integral part of these financial statements.

31 December 31 December Notes 2015 2014 N’000 N’000

INCOME Fees and subscriptions 4 893,504 902,245 Operating activities 5(a) 2,218,453 2,349,926

3,111,957 3,252,171

Operational expenditure 5(b) 1,444,255 1,697,460

Surplus of income over expenditure 1,667,702 1,554,711 Investment income 6(a) 98,499 176,729 Gain on fair valuation of investment property 15b 180,000 88,000 Other income 6(b) 104,313 85,571

Total income 2,050,514 1,905,012

EXPENDITURE International affiliation cost 7 123,431 117,997 Depreciation and amortisation 8 163,653 133,389 General and administrative expenses 9 669,037 652,677 Personnel cost 10 800,279 757,879 Other expenditure 11(a) 188,556 246,206 Impairment charges 11(b) 6,985 10,461

1,951,941 1,918,609

Surplus/(deficit) for the year 98,573 (13,597)

Other comprehensive income (Loss)/gain in fair value of available-for-sale investments 16 (33,219) 1,722

Total surplus/(deficit) for the year 65,354 (11,875)

The notes on pages 52 to 79 are an integral part of these financial statements.

THE INSTITUTE OF CHARTERED ACCOUNTANTS OF NIGERIA THE INSTITUTE OF CHARTERED ACCOUNTANTS OF NIGERIA 2015Annual Report & Financial Statements 48 2015Annual Report & Financial Statements 49 Statement of CASH FLOWS FOR THE YEAR ENDED 31 DECEMBER 2015

31 December 31 December Notes 2015 2014 N’000 N’000

CASH FLOWS FROM OPERATING ACTIVITIES

Cash generated from/(utilised in) operating and fund activities 29(a) (3,100) (829,605) Cash generated from funding activities 29(b) 116,021 6,985

Net cash generated from/(utilised in) operating activities 112,921 (822,620)

CASH FLOWS FROM INVESTING ACTIVITIES

Acquisition of property, plant and equipment 13 (208,850) (268,093) Acquisition of intangible asset 14 (61,849) – Proceed from disposal of property, plant and equipment 6(b) 385 420 Acquisition of available-for-sale investments 16 (13,678) (231) Interest received 6(a) 60,843 146,496

Net cash used in investing activities (223,149) (121,408)

Cash flows from financing activities – –

Net cash generated from financing activities – –

Net decrease in cash and cash equivalents (110,228) (944,028) Cash and cash equivalents at the beginning of the year 872,630 1,816,658

Cash and cash equivalents at the end of the year 762,402 872,630

<------Other Charitable and Trust Funds ------>

Available-for-Sale Accumulated Development Prizes Benevolent Library Professorial Accountancy Study Text Student Total Investments Fund Fund Fund Fund Fund Chair Research Revolving Development & Fund Fund Support Fund

N’000 N’000 N’000 N’000 N’000 N’000 N’000 N’000 N’000 N’000 N’000

Balance at 1 January 2014 31,497 1,045,454 1,553,223 8,503 82,418 386,195 119,403 145,469 – – 3,372,162

Deficit for the year – (13,597) – – – – – – – – (13,597) Transfer to fund – – – – 14,161 – – – – – 14,161

MOVEMENT IN FUNDS Payment during the year from fund – – – – (14,161) – – – – – (14,161) Available-for-sale investments 1,722 – – – – – – – – – 1,722 Receipt/(payment) to members/students – 231 10,093 (1,098) 30 – – – – – 9,256 Transfer to AAT – (2,040) – – – – – – – – (2,040)

Total comprehensive income 1,722 (15,406) 10,093 (1,098) 30 – – – – – (4,659)

Balance at 31 December 2014 33,219 1,030,048 1,563,316 7,405 82,448 386,195 119,403 145,469 – – 3,367,503

Surplus for the year – 98,573 – – – – – – – – 98,573 Transfer to funds – (108,265) – 10,000 30,746 – – – 52,045 29,680 14,206

MOVEMENT IN FUNDS Available-for-sale investments (33,219) – – – – – – – – – (33,219) Payment during the year from fund – – – (985) (5,465) – – – – (6,450)

Total comprehensive income (33,219) (9,692) – 9,015 30,746 (5,465) – – 52,045 29,680 73,110

Balance at 31 December 2015 – 1,020,356 1,563,316 16,420 113,194 380,730 119,403 145,469 52,045 29,680 3,440,613

The analysis of reserves is presented in note 26.

THE INSTITUTE OF CHARTERED ACCOUNTANTS OF NIGERIA THE INSTITUTE OF CHARTERED ACCOUNTANTS OF NIGERIA 2015Annual Report & Financial Statements 50 2015Annual Report & Financial Statements 51 Statement of CHANGES IN MEMBERS’ FUNDS FOR THE YEAR ENDED 31 DECEMBER 2015