The Chairman, Board of Directors of NRA (National Revenue Authority), Mrs. Tuma Adama Gento-Kamara has defied a directive from the Minister of Finance to stop a planned investigation into some business entities, which will result in “an unhealthy business environment, impacting on the financial and economic governance of the state”.
It would be recalled that a letter from the Minister of Finance dated 20th January, 2022 mentioned that “Our attention has been drawn with utter dismay that the Chairperson of the Board of Directors of the NRA, who is a non-executive Chairperson, typically involved in policymaking, planning and other strategic matters, as opposed to engaging in the day-to-day management of the organization, has instructed the Board Secretary, to write to some businesses requesting them to appear before an investigation panel for transactions relating to their company, without even specifying details for which they are being investigated. We have no doubt that such action by the Chairperson of the Board of Directors of the NRA will result in an unhealthy business environment, impacting the financial and economic governance of the state. In view of the foregoing, I hereby direct that all the invitations sent for the said investigation to the concerned businesses, be rescinded with immediate effect.”
The NRA Board Chairman in her reply to the Minister’s letter said, “Sir, based on the foregoing, the Board Investigating Committee will carry on with its duty and further continue with the investigation. Its findings and report will be made available when done.”
Her response has been deemed as an act of insubordination especially after she had realized that the Minister’s letter had the backing of State House. The Board Chairman stated further that “Sir, you mentioned in your letter about a meeting with His Excellency the President, and that he gave directive as mentioned in your letter, but I will refrain from commenting on same.” This reply has not gone down well with some key authorities at State House and the Ministry of Finance who described the NRA Board Chairman’s action as a total disregard for authority especially at a time when the government is working hard to promote businesses in the country.
“The members of the Board of Directors were appointed by the President and for the past four (4) years we have proven to be competent (the records of the Authority will speak for itself), which is why we were re-appointed by His Excellency the President for a second term,” she stated in her reply to the Finance Minister.
“It is important to also note that within the context of the law, Section 97 of the Goods and Services Tax Act No. 6 of 2009 and Section 136 of the Income Tax No. 8 of 2000, mandated only the Commissioner General or any person authorized by him, to conduct an investigation for tax collection purposes, save under an order or inherent jurisdiction of a competent court of law.
It sends a clear message that the Board Chairman should not play the role of the Commissioner General who is the head of Tax Administration and the Board of Directors has the mandate to provide oversight.
Sources at State House confirmed that the issue “is being currently looked into to prevent the creation of an unhealthy business environment that will affect the financial and economic governance of the state”.
A local newspaper report last week reported that the Board Chairman had “schooled the Finance Minister” which has been as an affront to the authority of the Ministry of Finance to provide oversight for the NRA.
Investigation continues.
