POLITICAL PARTIES AND FUND RAISING

If you have ever criticised any money donated by   individuals to any political aspirant, then you need to read the position of the Law and why it is seen as normal.

Generally, fundraisers initiative to raise ubiquitous funds might not have done anything illegal per se even though it does not look good , as where parties or candidates depends largely on private money, politicians risk becoming beholden to special interest , but there is the political image that money gives some sense of strength of a candidate’s support. It also provides the wherewithal to employ the best brains in the political business.

However, where and when private fundraising for parties by companies is limited by law as the Companies and Allied Matters Act, money has a way of funding its way over the wall.  Section 38(1)(2) CAMA as it is  by similar laws in other countries shows why  there is the mushrooming of organization that spends money influence voters, but for a minister who was a party chieftain to come out and declare that a party has won a oil block as a result of the donation by a company to ‘CORPORATE NIGERIA’ is to blow the lid and it’s a NO NO

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In Alhaji Yusuf & Anor V. Chief Obasanjo & Anor (2006) ALL FWLR (PT 294) 387 @ CA where there was an allegation that a cabinet minister made announcement of the grant of oil concession to a company and it was in consideration of its donation, notably the court of Appeal found the donation allegation not proved but it stated that donation to political parties is ethical and not invidious until a limit is set and donation exceeds limits ‘ The decision stated further that ‘ no legislation has been shown to the court directing or describing a ceiling for the amount that could be donated’ The decision agreed further on earlier position of the Supreme Court in Alhaji Yussuf & Anor V. Chief Olusegun Obasanjo & Anors (2003) 16 NWLR@507 it was stated that it is difficult to ascribe to the corporate Nigeria’s fund raising subscription act as invidious characteristics.

The court would have possibly fund it awkward if the attention has been directed to the provision of Section 38(1)(2) of the Companies and Allied Matters Act which does not allow corporate organizations to give or donate to political parties or associations .In case of breach of these provision of the law ,it is stated to be an offence carrying a fine equal to the amount donated.

Conclusively, individuals have the right to donate as much as he or she can afford to a politician or political party but a corporate entity cannot.

Thank you.

Oyenike Alliyu-Adebiyi LLB(hons)BL