Archive for nigeriang

We are eager to send PDP away, says Tinubu

We are eager to send PDP away, says Tinubu

Former governor of
Lagos State, Bola Tinubu, on Wednesday, said that the Action Congress
(AC) is working assiduously to unseat the ruling Peoples’ Democratic
Party (PDP), come 2011 general elections.

Mr. Tinubu, one of
the prominent personnel of the Action Congress, while speaking to
aviation correspondents at the presidential wing of the Murtala
Mohammed Airport (MMA), Lagos, on issues affecting the new voter
register, declared that his party will not pardon the excesses of any
political platform that tries to jeopardise the peaceful conduct of the
polls.

“As for May 29, we
are in a hurry to send away PDP. But if they have to still do their
mosquito style of election, then we will resist. We will do everything
possible to strengthen the path of democracy in this country,” he said.

Expressing his
support for a new voter register, the former governor disclosed that
Nigeria will only hold credible elections with the new register in
place, as he describes the old register as faulty and unrealistic.

“I don’t think we
can conclude that we will not have free and fair elections yet, but I
agree hundred percent that we must have a fresh voters register. A new
registry of voters that will produce reliable, very viable and
biometrically compliant voters register that will eliminate all
duplications, and all irregularities.

“This is the way to
start the beginning of the next fifty years, after the first fifty
years of Nigeria’s independence,” he said.

Mr. Tinubu
maintained that it will be a huge disgrace should Nigeria fail to
conduct smooth elections, and that the entire components of the former
registry is corrupt, as he added that the former chairman of the
Independent and National Electoral Commission (INEC), Maurice Iwu,
reproduced the old voter register.

“It will be a
shameful thing to have all the professionals and the competent and
capable human resources that we have in this country if we cannot do
that (peaceful elections) for our nation. Otherwise, it will be a
disaster.

“There is no way
they can patch up what is now on ground, for you cannot plant a mango
and expect to reap corn, there is no way. Once the foundation is bad,
the entire structure will collapse. So, this voter register that they
think they will panelbeat is a record that is irreparable,” he said.

Explaining that the
current registry is impracticable, the AC stakeholder argued that the
Attahiru Jega’s administration in the electoral commission should be
given the right to have a new voter register, as he further indicted
the ex-boss of the commission.

“The software that
associated with it (current voter register) was pirated by Iwu’s
administration, let him sue me. I know the address of the Canadian
company; they didn’t pay for the software licence.

“That is why it is unworkable. You can’t panelbeat this management
to produce a reliable voter register, otherwise it’s garbage in garbage
out, from chaos to crisis and to more catastrophic consequences,” he
said.

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Senators want more states in South East

Senators want more states in South East

Senators have
called for the creation of one more state in the South East region, as
well the appointment of one more Supreme Court judge to balance the
nation’s federalism.

The senators made
the call on Wednesday while confirming the newly appointed justices of
the Supreme Court. The appointment of Bode Rhodes-Vivour and Suleiman
Galadima as Justices of the Supreme Court bring the number of judges at
the Supreme Court to 17, however, the senators argued that the South
East and North East region of the country were not adequately
represented in the appointments. Ayogu Eze (PDP Enugu state) argued
that the regional imbalance in the appointment reflects the
marginalization South East region and the need for a new state in the
region to balance national representation. “Currently, the South East
region has five states while the rest regions have six each; there is
need for balance in these areas,” he said.

Ike Ekweremadu, the
deputy senate president also expressed surprise, saying that he is
“worried that we have two Supreme Court Justices.” He however claimed
that “there is every need for balance across the geopolitical zones.”
Arguing in the same line, Smart Adeyemi (PDP Kogi state) and Chairman
of the senate committee on federal character, said it was imperative
the lawmakers considers the creation of one more state in the South
East region to balance the principle of federal character.

Responsive representatives’

Confirming the
determination of the senate to embark on state creation, David Mark,
the Senate President, told a group campaigning for the creation of
Hadejia State that following the successful completion and passage into
law of some amended sections of the 1999 Constitution, the National
Assembly is now poised for creation of more states. Mr Mark, while
receiving the delegates, said the state creation exercise is paramount
in response to the yearnings and aspirations of Nigerians. “As elected
representatives of the people, we carry the burden of the people and we
respond in a manner that would meet their yearnings and aspirations,”
he said.

According to Mr Mark, the senate shall consider every state creation
request on its merit and it must include but not limited to economic
and political viability of the proposed state. He expressed optimism
that creation of more states would bring government nearer to the
people and usher in an era of even development and healthy competition
between and among the federating states.

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Police recover artillery from robbers

Police recover artillery from robbers

The Ogun State Police Command yesterday
announced a major breakthrough in crime fighting with the recovery of
heavy artillery, which includes rocket launchers and a number of
dynamites from armed robbers, as well as the arrest of two members of
the gang.

The bandits were said to have arrived
Abeokuta last Tuesday to rob some banks in the town, after their failed
attempt in Ibadan, the Oyo State capital, where they had earlier killed
three policemen.

Showing the recovered artillery and the
arrested suspects to journalists at the Eleweran Police headquarters in
Abeokuta, commissioner of police, Musa Daura, said the command acted on
information about the plot of the bandits.

He said he deployed his men to the
front gate of the police headquarters, where the bandits were to pass
through to the town, adding that the hoodlums, on sighting the
policemen, immediately opened fire.

“It was at this stage my men engaged
the bandits in a shootout, which lasted for over 20 minutes, and the
superior firework of the command forced the gang to abandon their
vehicle and ran into various directions into the bush at a nearby
village.”

From all over

The commissioner said the police arrested two of the seven suspects and recovered their operational vehicle, a Hyundai Elantra.

Items recovered from the vehicle and
shown to journalists included one military multi-purpose machine gun
number KN 276, two military rocket launchers, four dynamites, three
strands of explosive cords, 115 magazines painted military colour fully
loaded with 30 rounds of live ammunitions each, and a Mazda bus
snatched by the bandits to escape from the scene of the shootout.

One of the robbery suspects, Obinna
Ajah, confessed to the crime. He said his gang members converged in
Ibadan, on Monday night, to carry out the bank robbery operations,
which eventually failed. He said it was as a result of the failed
operations in Ibadan that the gang resolved to visit Abeokuta, before
luck ran against them.

“When we arrived Abeokuta, we noticed
the presence of policemen who already mounted road block for us, so we
opened fire, which the police also returned in force. We had to run
into the bush where I was later arrested,” Mr. Obinna said.

The suspect said the gang, numbering
about fifteen, came from Lagos, Ebonyi, Abeokuta, and Ibadan for the
operations after contacting themselves through telephones.

Happy Daniel

Ogun State governor, Gbenga Daniel, who
came to see the volume of the recovered artillery and the suspects
while being paraded said, “what we saw here today looks like a joke,
but it is something very big. Capturing them is just one issue, but the
amount of sophisticated weapons which you have all seen is something
that is very scary. It’s also something that we have not witnessed in
this state.”

He congratulated the police for overpowering the bandits. Mr. Daura
assured journalists that the runaway members of the gang will soon be
arrested.

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Soyinka evades birthday reception at ‘Fela! on Broadway’

Soyinka evades birthday reception at ‘Fela! on Broadway’

The owners of the popular musical,
‘Fela! on Broadway’, were shocked on Tuesday night when Nobel Laureate,
Wole Soyinka, suddenly slipped away, ignoring the elaborate birthday
reception organised for him in New York.

Mr. Soyinka was at the Eugene O’Neill
Theatre venue in midtown New York to see, for the first time, the
highly entertaining musical woven around the life and music of his
cousin, the late Afrobeat musician and activist, Fela Anikulapo Kuti.

Apparently unaware of the Nobel
Laureate’s dislike for any outward celebration of his birthday, the
show owners had ordered a rectangular gorgeous birthday cake, which
they planned to present to the professor on stage at the end of the
performance.

Food, drinks, and tables were also
reserved at the next-door Serafina Hotel, where the 76-year-old writer
was to be hosted to a reception.

But somehow, Mr. Soyinka got wind of the plan, and he sneaked out of the “shrine”, just as the cast was taking their bows.

Unaware that the Nobel Laureate had
left the venue, the talented Sahr Ngaujah, who acted Fela, grabbed the
microphone and announced to the audience,

“This is a very special night for us
because we are visited today by Fela’s cousin, the great Nobel
Laureate, Professor Wole Soyinka. Today also happens to be his
birthday.”

Ngaujah had hardly finished when two
female members of the cast appeared onstage with a rectangular
white-red-blue birthday cake.

The audience clapped and buzzed with
expectation, hoping that the professor would move onstage to make a
brief remark and cut the cake.

But Mr. Soyinka was long gone and the
audience, which had a good number of Nigerians, and scores of
journalists, were disappointed. A birthday song was, nonetheless, sung
for him.

Honour for organisers

Okey Ndibe, a professor of Literature
at Trinity College, who saw Mr. Soyinka hurrying out of the theatre and
waving down a taxi, said the Nobel Laureate told him that he did not
want the performance to be about him, but about Fela.

“He said he did not want to grant
interviews or be celebrated,” Mr. Ndibe explained to Stephen Hendel,
lead producer of the play.

“He said it is a great play, but that
he would come back unannounced to watch the play again and meet the
cast,” Mr. Ndibe said.

Publisher of SaharaReporters.com, a
popular online news website, Omoyele Sowore, who drove Soyinka from his
hotel to the play, also explained that the professor had an early
flight for South Africa on Wednesday and could therefore not wait for
his birthday song.

Mr. Hendel said although the professor
did not wait for the reception, his presence at the “shrine” to watch
the play was an enough honour for him and his team.

“We have so much respect for Professor Wole Soyinka,” he said. “For
us to have one of the greatest men of the world come to see the show is
a great honour for us. It is a thrill for everyone,” he said.

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Ex-militants protest shabby treatment in Warri

Ex-militants protest shabby treatment in Warri

Visibly angry ex-militants, protesting the shabby
handling of the post-amnesty programme, stormed the Nigeria Union of
Journalists (NUJ) Press Center in Warri, Delta State, yesterday,
causing pandemonium among the residents and passers-by in the area.

The ex-militants, who came in large numbers, blocked
all entrance to the Marine Quarters, where the press center is located,
causing road users and residents to scamper to safety, just as
motorists make a detour to other routes.

Carrying various placards, they threatened to go back
to the creeks as from August 5th, 2010, if their demands were not met
by the Federal Government.

The over 200 former warlords and their boys, led by
‘Generals’ Augustine Oges and Kingsley Muturu, among others, invaded
the No. 12, Gbiaye Street, temporary abode of the Warri Correspondent
Chapel of the NUJ, at about 4.30pm in a violent protest that lasted for
close to two hours.

Traffic was held up for several hours in the area as
the ex-militants mounted several barricades on the strategic road that
leads to Okumagba Avenue and other parts of the Oil City.

The protesters, who gave the Federal Government a
7-day ultimatum, which expires on the 5th of August, 2010, said the
federal government must set the machinery in motion to rehabilitate
their members or else they would return to the creeks.

They vowed to make the region ungovernable for the
various state governors and the Federal Government if their members are
not documented and engaged in the ongoing programmes.

Second phase of protest

Mr. Oges and other protesters told journalists that
despite the protest they held in Abuja, nothing has changed, and warned
that yesterday’s protest at the Press Centre was a follow-up to the one
held earlier this month in Abuja, the Federal Capital Territory.

He said President Goodluck Jonathan’s promise that a
second phase of documentation would be carried out to take care of them
and their members was yet to be fulfilled, and therefore, they could no
longer guarantee holding back their foot soldiers.

He denied media reports that they had apologised to the special adviser to the president on amnesty, Timi Alaibe.

“It is not true that we have apologised to Mr.
Alaibe. That report is completely untrue because we know that some boys
were given money to go back and make that apology. The situation is
still as it is and this (Warri Protest) is the next phase of our
action,” he said.

“We dropped our arms since October last year, but
nothing has happened to us since then. Hence, we stormed Abuja in July
7 to demand for proper documentation of our members who are yet to be
documented.

“Time is running out, and we do not want Timi to
handle the second phase of the amnesty. The president should allow
another competent Nigerian to handle this crucial phase of the amnesty.
Timi has paid some boys to come and apologise to him over the protest
to Abuja.

“We do not want him again, and we are appealing to the president to
beware for him not to rock the boat of his administration. We are
giving the president from now till August 5 to address our issue,
otherwise, we will go back to the creeks and make this country
ungovernable. Enough is enough,” he threatened.

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Senate delays NDDC budget approval

Senate delays NDDC budget approval

The senate, on Wednesday, delayed the approval of the
N236.58 billion 2010 budget of the Niger Delta Development Commission
(NDDC) for lack of details and bogus overhead cost.

The NDDC budget, which has an allocation of N12.84
billion for personnel and overhead cost, also had an allocation of N226
billion for capital budget. However, the senators criticised the budget
for lacking detailed projects in which the capital budget was to be
applied on.

In a bid to pass the budget expeditiously, even
though the budget is coming late, the senate has asked the chairman of
the senate committee on NDDC, responsible for the budget, to submit all
the details of the budget to the senate by Thursday for possible
consideration and approval.

Beyond Thursday, the senate will embark on a two
months vacation, and the promoters of the budget fear the commission
will be stranded if the senate does not approve the budget before going
on vacation.

“We are actually hard pressed – two wrongs cannot
make a right – let us get the details tomorrow and see whether we can
pass it,” the senate president, David Mark, told the NDDC committee
chairman, James Manager (PDP, Delta State).

The decision of the senate to reconsider the budget
with its full details was reached after a heated debate in which some
senators unsuccessfully called for a piecemeal approval of the budget,
while some of the senators from the Niger Delta region called for the
approval of the budget without the details.

According to Mr. Manager, the NDDC committee has all
the details sent to it by the presidency and will tender them on
Thursday. He, however, notified the senate that NDDC is notorious for
submitting budget proposals late.

“If the next year budget does not come by September
this year, they should forget it. We won’t be taking their budgets
outside September anymore,” the senate president said.

The NDDC act stipulates that they submit their next annual budgets before the end of September of the current fiscal year.

Bogus Overhead

Although the budget has a total of N12.84 billion
proposed to be spent on overhead and personnel, the senators criticised
it saying it is bogus.

The senators criticised some allocations in which some offices proposed to spend up to half a billion naira on personnel alone.

“The overhead cost is completely overboard,” Lee
Maeba (PDP Rivers State), said. The budget contains provisions like
N529.26 million for personnel and overhead cost for the managing
director’s office, N456.8 million for the corporate affairs office,
N330.38 million for the directorate of legal services, and N676.3
million for the directorate of planning, research, statistics, and MIS.

The budget also includes an allocation of N90 million for condolences and marriages.

“There is too much money for personnel and overhead cost.” Ahmed
Lawan said. “Are we trying to settle some cabal in Port Harcourt or are
we trying to build infrastructure in the region?” Mr. Lawan queried.

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No changes in commission, says vice chairman

No changes in commission, says vice chairman

No director has been changed or reassigned in the
Nigerian Communications Commission (NCC), the acting executive vice
chairman of the commission disclosed last night.

“NCC has 11 directors and they are still directors,
only one of them, Fayomi, is on leave,” said Bashir Gwandu, the vice
chairman.

Mr. Gwandu added that only junior officers, among
which were a protocol officer and store keeper, were changed. “Most of
those changed were redundant,” he claimed.

Mr. Gwandu denied categorically that directors were changed.

The commission has been in the public eye since the
exit of Ernest Ndukwe, its first executive vice chairman. The
reassignment of its staff came after President Goodluck Jonathan last
Thursday, forwarded Eugene Ikemefuna Juwah to the senate as the
commission’s new executive vice chairman.

But an internal memorandum, allegedly issued by Mr.
Gwandu last Friday, ordered a reassignment of eight staff, saying this
was “necessitated by the absence of key management staff in some
sections of the NCC and the lack of adequate manpower in some units.”

Those affected include Sikiru Ibitoye, an assistant
director in the public affairs department, who was moved to the
Universal Service Provision Fund, an NCC subsidiary, as acting
secretary/chief executive.

Mr. Ibitoye took over from Funsho Fayomi, a director,
who commenced his annual leave on Monday. Mr. Fayomi has been head of
USPF since 2007. Felicia Onwuegbuchulam, an assistant director and
head, funding and subsidy, USPF, was moved to finance department. M. B.
Dari, a senior manager, takes over as head, funding and subsidy, USPF.
He was in the internal audit department.

Other postings are Basil Okoye, who moved from USPF
to public affairs, and Austin Odo, formerly of the Lagos zonal office,
who was moved to the office of the acting executive vice chairman as
special assistant.

Usman Mamman and R. Ramalan, both of corporate
planning department, were moved to legal/licensing. Phoebe Danyi moves
to USPF audit, from the compliance, monitoring and enforcement
department.

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Nintendo releases gaming console

Nintendo releases gaming console

The Nintendo game in Japan has unveiled its latest game called
the Nintendo 3DS, expected to offer more immersive gaming experience than never
before.

The game, unveiled on June 15 at the E3 Expo event, held at Los
Angeles, California, United States. The Nintendo 3DS is a portable game console
that allows users experience and enjoy intense 3D games with a complete new
look and feel, without the need of special glasses.

The easily pocketable device also makes it convenient for
enjoying gaming experience while on the go.

Along with the phone launch is a substantial list of upcoming
games that would be played on it, and these include Metal Gear Solid, snake
eater 3D, Resident Evil Revelations, Samurai Warrior and others.

“The additional dimension of depth in 3D makes it easier for
players to judge distances while giving developers a new tool to create games
and experiences that play with both height and depth,” said Nintendo video game
designer, Shigeru Miyamoto, who pioneered the fully rendered 3D video game
world with Super Mario 64TM .

Game Design

Nintendo 3DS has a 3.53 inch top screen and a 3.02 inch bottom
touch screen. It also has three cameras – one inner and two outer – to deliver
the 3D effect and take 3D pictures. It includes a motion sensor, a gyro sensor,
and even a Slide Pad that allows 360-degree analog input.

The portable game comes with approximate dimensions of 5.3
inches wide, 2.9 inches long, 0.8 inches tall, and an approximate weight of 8
ounces.

For game control, there are A/B/X/Y face buttons and control
pad, L/R buttons, start and select buttons, and a “Slide Pad” that allows
360-degree analog input.

The console’s 3.53 inch widescreen LCD display top screen
enables 3D viewing without glasses, has 800×240 pixel resolution (400 pixels
are allocated for each eye to enable 3D viewing).

It has a touch screen of 3.02 inch LCD with 320×240 pixel
resolution. For fun picture taking, it comes built with cameras, one inner
camera and two outer cameras with 640×480 pixel resolution.

Gaming power

It enables wireless communication in the 2.4 GHz band. Multiple
Nintendo 3DS systems can connect via a local wireless connection to let users
communicate or enjoy competitive game play. Systems also can connect to LAN
access points to access the Internet and allow people to enjoy games with
others.

Nintendo 3DS hardware is designed so that even when not in use,
it can automatically exchange data with other Nintendo 3DS systems, or receive
data via the Internet while in sleep mode.

It has a game card of 2 GB Max at launch, embedded microphone,
stereo speakers positioned to the left and right of the top screen, and lithium
ion battery.

It has a port that accepts both Nintendo 3DS game cards and game
cards for the Nintendo DSTM family of systems, an SD memory card slot, an AC
adapter connector, a charging cradle terminal and a stereo headphone output
jack.

Parental controls will be included for underage users.

Pricing

Its price has not been announced yet.

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Shareholders, Central Bank disagree over rescued banks

Shareholders, Central Bank disagree over rescued banks

The end may yet not be in sight in the lingering effort by the
Central Bank to sell off the eight banks that were rescued last year.

After injecting N620 billion to resuscitate the banks, the
Central Bank plans to sell the institutions to foreign and local investors in a
bid to keep them afloat and ensure that they are better run.

However, shareholders of the affected banks insist that the
banks will only be sold on their own terms and not according to whims of the
regulator.

After a meeting held with the shareholders in Abuja two weeks
ago, Lamido Sanusi, the Central Bank governor, cautioned that should the
on-going process to recapitalise the affected banks be frustrated, the CBN
would have no other option than to go for liquidation as provided by the
existing legal framework.

Central Bank cannot sell
banks

In what amounts to double speak, Mr. Sanusi said recently that
the Central Bank would not sell the banks as it is not its business to do that.
He said the Bank only recommended some reputable financial advisers, who are
working with the board and management of these banks to source, and negotiate
with any of such investors that can create some value for the affected banks.

But Sunny Nwosu, national
coordinator of the Independent Shareholders Association of Nigeria said the
shareholders cannot trust the executive directors appointed by the CBN.
According to Mr. Nwosu, shareholders will prefer to negotiate with the non
executive directors not appointed by the CBN.

He insisted that the CBN cannot sell any bank because it does
not have the power to sell what does not belong to it. “The only instrument is
for the CBN to liquidate and transfer to the Nigeria Deposit Insurance
Corporation and these two options will be too heavy considering the current
condition of our economy,” he said.

Boniface Okezie, chairman of the Progressive Shareholders
Association of Nigeria said the shareholders should be the ones to decide how
the banks will be sold, stating that a sale supervised by the CBN may not be
transparent. “If the CBN says it has no agenda, then it should allow the
shareholders to recapitalize the banks,” Mr. Okezie said. Mr. Okezie wanted the
CBN appointed directors need to be withdrawn in order for the negotiation for
the sale of the bank to be transparent.

Depositors’ safety

Mr. Nwosu said since the CBN has already guaranteed the safety
of depositors, then the shareholders should be allowed to salvage what is
remaining of the banks. “We have opted for recapitalisation but the CBN is bent
on getting its friends outside the country to buy these banks. The governor
said if any shareholder comes up with N100 billion, he will hand over the bank
to the person,” he said, adding that from the foregoing, the shareholders no
longer trust the CBN to be fair in its dealings.

He said shareholders would need to be given ample time in order for the
shareholders to come up with the funds to recapitalize the banks. “CBN is
saying three months but we need between 12 to 18 months to recapitalize these
banks, after all, most of the problems emanated from the CBN action,” he said.

Mr. Okezie said since Wema and Unity banks were given extension of eight to
nine months, then the rescued banks should be given more than a year for them
to recapitalise. “We all agree that there is need to recapitalise,” he said.
“The banks cannot raise funds now from the capital market or rights issue, so
the only option is to bring in core investors. If you are bringing in core
investors, you must insist that they have a track record of good corporate
governance.”

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Level playing fields, in soccer and finance

Level playing fields, in soccer and finance

Over the past month, one question seemed to be on everyone’s
mind at the economic conferences I attended in Europe: How did referees miss a
goal that England scored against Germany in their World Cup match?

Soccer reform wasn’t the stated focus of these conferences.

But thinking about how to improve the sport’s regulations comes
naturally to economists, especially after a few beers, because some of the same
principles should be applied to economic regulation.

The first is that the regulator – in this case, the referee – is
fallible. So the rules should make the regulator’s job as easy as possible.

Second, regulators can’t detect every irregularity, so the
emphasis has to be on getting the big stuff right. Finally, we want
performance, not regulators, to determine the outcome. The best regulators are
those we don’t notice.

In soccer, one head referee has to cover a “pitch” larger than
an American football field. He has three assistants who must stand on the
sideline. There is plenty of evidence beyond that missed English goal that
referees are indeed human. For example, referees call more fouls against the
visiting team, and against bigger players. So, what can be done?

ADD REFEREES Put at least one more ref on the field. (Basketball
has three referees on a much smaller court.) The idea is under consideration by
FIFA.

This is a no-brainer for the World Cup, which generates billions
of dollars in revenue, but in the world of financial regulation, adding
referees is costly. Governments will need to cut budgets, so we need to make
regulators more efficient, not more numerous.

ADD TECHNOLOGY Although instant replay showed that England’s
goal should have counted, FIFA officials have resisted using technology that
could help.

Many technological solutions, including embedding an electronic
chip in the ball, would make the determination of goal scoring faster and more
accurate.

Technology can help in other regulatory areas as well, and is a
good way to increase efficiency. For example, requiring banks to file their
compliance data electronically drastically reduces the time it takes to conduct
an audit.

INCREASE SCORING In the most recent tournament, the teams
together scored 2.27 goals per match, the second-lowest number in history. The
problem with low-scoring games is not just that they bore uncultured Americans
like me. Low scores magnify the importance of referees’ decisions. When a team
is awarded a penalty kick, it scores about 75 percent of the time, and that’s
very likely to affect the outcome of a low-scoring game.

In finance, a useful analogy is to increase the capital
requirements for banks. By requiring banks to have a bigger security blanket,
regulators themselves have greater margin for error.

REDEFINE ‘OFFSIDE’ The offside rule is now too hard to enforce.
When a player passes the ball downfield, no one on his team can have any part
of his body farther downfield than any defender, aside from the goalkeeper. The
linesman calling these violations runs along the sideline, keeping parallel
with the offensive player closest to being offside – all while watching the
ball.

This requires wide-angle vision that humans don’t possess. Short
of eliminating the rule, we might limit offside calls to players whose entire
body is ahead of the defenders. That should be easier to detect, and might lead
to more goals scored.

The general point is to make the judgment tasks of regulators
easier. The Securities and Exchange Commission had trouble assessing the
technical arguments that strongly suggested that Bernie Madoff was a crook, but
they could have easily had a rule requiring him to document his assets under
management.

RETHINK PENALTIES Another idea is to adjust the silly yellow/red
card penalty system. There are three levels of fouls in soccer, depending
partly on whether the action is “careless,” “reckless” or “using excessive
force.” It is asking too much to think a referee can distinguish between
careless and reckless on the fly.

A system similar to basketball’s, in which accumulated fouls
lead to expulsion, and “flagrant” fouls are heavily punished, would be easier
to put into practice, especially if an off-field official kept track of the
running totals.

The general principle here is that we don’t want small
differences in behavior, which are difficult for a regulator to distinguish, to
lead to large differences in punishment.

REDUCE FAKING Finally, there is the problem of diving. After
falling, players routinely writhe on the ground until the referee either
believes they’ve been injured, ignores them or, rarely, imposes penalties for
“simulation.” These instant injury judgments are very difficult for a single
on-field referee.

Such decisions might be turned over to referees watching video
monitors – and empowered to impose stiff penalties for faking. Diving is the
soccer version of the inevitable attempts to influence financial regulators, in
matters both legal and illegal. One can think of video replays as a
transparency requirement. We can’t expect to eliminate special pleading by
financiers for taxpayer bailouts, of course, but perhaps we can reduce the
impact of such efforts by opening them to public view through increased
disclosure about the process and its beneficiaries.

New rules in either soccer or finance shouldn’t put any more
burden on individual referees. As Larry Summers, the director of the National
Economic Council, said recently, in revising financial regulations, we do not
want to require anyone to get any smarter.

Richard H. Thaler is a
professor of economics and behavioral science at the Booth School of Business
at the University of Chicago.

© 2010 New York Times News Service

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