ABSTRACT
Research into corporate governance in Nigerian Bank was born out of
necessity to investigate the frequent collapse of some banks ever
since the post-independence period. Bank failure is so disturbing
because it sits at the centre of the economy. Upon further enquiry,
this study arrived at the conclusion that central to the causes of
bank failure is the poor management in institutions. The first chapter
succinctly discussed the issues of bank failure and faults,
centralization of management, misreporting, insider abuses and
fraud, violation and non-compliance of internal controls put in place,
etc. Causes of bank failures is the locus standi of the discussion of
corporate governance in chapter one. Several definition of corporate
governance coming from different schools of thought was attempted,
analyzed and common position identified. Summarily, corporate
governance was defined as the way and manner corporate
organizations are directed and controlled by the board for the
interest of the stakeholders. Wealth distributions to the stakeholders
which is one of the poignant issues corporate governance addressed
was central to this study. Review of literature historically traced
back bank distress in Nigeria from pre-independence to date.
Reasons for the recorded failures were also identified. Aims,
principles and provisions of corporate governance were discussed in
chapter two.
Legal perspective was given to the study by the
highlighting on the provisions of OECD, Bank for international
settlements, peterside’s Committee, Bankers Committee, King’s
reports on corporate governance. The procedures adopted in data
generations, data collection, measurement criteria, analysis and
interpretations were highlighted in chapter three. The empirical
approach adopted in the research gave the work a scientific outlook.
Sufficient data generated were tabulated so as to aid analysis.
Pictorial analytic tools –graphs were employed in analyzing the data.
In data analysis, a comparative study of the values given to various
stakeholders of Banks was done so as to determine their fairness or
otherwise. Before arriving at a result data of various companies
under review as contained in Value added statement in the past five
years were carefully spooled and analyzed. The analyzed data
presented in graph simplified the analysis. Conclusively, the study
criticized the returns given to shareholders of banks and
recommended a comparative review.
