SEC bars Tinubu, 5 administrators of Oando from public corporation positions

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Saturday, June 1,2019

The Securities and Exchange Commission (SEC) on Friday barred the Group Chief Executive Officer of Oando Plc, Wale Tinubu, and his deputy, Omamofe Boyo, from retaining director positions of public companies for a minimal 5 year period.

The Nigerian capital market regulator additionally directed different members of the Board of the agency to resign their positions forthwith.

The SEC additionally directed the convening of an exquisite well-known assembly of the agency on or before July 1 to appoint new directors.

The directives had been section of hints in the document of the panel constituted to look into allegations of regulatory violations towards the administration of Oando Plc.
The sanctions are amongst some regulatory measures by the SEC to remedy the infractions by means of the sacked administration of the company.

The investigation observed the receipt of two separate petitions from investors by means of the Commission in 2017, about alleged regulatory misconduct by way of the management of Oando Plc, which is listed on each the Nigerian and Johannesburg Stock Exchanges.

Apart from the panel that investigated positive infractions of securities and other applicable laws observed, SEC said it additionally engaged Deloitte & Touche to conduct a forensic audit of the things to do of Oando Plc.

“The well-known public is hereby notified of the conclusion of the investigations of Oando Plc, SEC said in a assertion on Friday with the aid of its spokesperson, Efe Ebelo.

“The findings from the report published serious infractions, such as false disclosures, market abuses, misstatements in monetary statements, interior manipulate failures, and company governance lapses stemming from negative board oversight, irregular approval of directors’ remuneration, unjustified disbursements to directors and management of the company, related celebration transactions now not performed at arm’s length, amongst others,” the announcement said.

In addition to barring its directors from public companies, SEC stated the company was once additionally directed to pay monetary penalties.

Also, all indicted individuals, administrators and affected Board members are to refund all improperly disbursed remuneration by way of the company.

Section 304 of the Investments and Securities Act, (ISA) 2007 empowers the Commission to refer all problems with viable criminality to the terrific crook prosecuting authorities.

In addition, the SEC stated other factors of the findings would be referred to the Nigerian Stock Exchange (NSE), Federal Inland Revenue Service (FIRS), and the Corporate Affairs Commission (CAC) for similarly actions.

“The Commission is assured that with the implementation of the above directives and introduction of some remedial measures, such unwholesome practices via public organizations would be notably reduced.

“Therefore, in line with the Federal Government’s unravel to build sturdy institutions, Boards of public groups are enjoined to top function their fiduciary obligations as required below extant securities laws” the declaration said.

The Commission said, as the apex regulator of the Nigerian capital market, it will preserve its zero tolerance to market infractions.

It reiterated its commitment to making sure fairness, integrity, effectivity and transparency of the securities market, to strengthen investors protection.

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