Capital market fraud: SEC bans Ogiemwonyi for life
The apex regulator of the Nigerian capital market, the Securities and Exchange Commission, has barred the Managing Director of Partnership Investment Company Plc and Partnership Securities Limited, Mr. Victor Ogiemwonyi, for life from holding directorship positions in any public company in the country following his alleged unprofessional conduct in the capital market.
SEC has also withdrawn the operating licences of Partnership Investment Company Plc and Partnership Securities Limited. The Chairman of the companies, Mr. Henry Omoragbon, was also suspended for a period of five years from engaging in capital market activities in Nigeria.
FG Promises to Restore Investor Confidence in Capital Market
The federal government has promised to restore investor confidence in the capital market by repositioning the Investment and Securities Tribunal for effectiveness and efficiency in handling the rising incidence of cases in the market.
It assured that the Investment and Securities Tribunal (IST), which provides Alternative Dispute Resolution (ADR) window would be rejuvenated to dispel fears and threats from both capital market operators and the investing public on issues that require declaratory orders by the Tribunal. The Minister of Finance, Mrs. Kemi Adeosun, who gave the assurance in Abuja yesterday while inaugurating
E-dividend’ll curb unclaimed dividend, says NSE
The Nigerian Stock Exchange (NSE) has underscored the importance of registration for the electronic dividend payment (e-dividend) system as a key measure to address the recurring issue of unclaimed dividend.
The NSE recently organised an investor clinic to educate capital market stakeholders on the role of dematerialisation, direct cash settlement and e-dividend in the development of the capital market. It was targeted at sensitising the investing public and brokerage community of contemporary initiatives in the market.
Oando shareholders protest, call for Tinubu’s resignation
Shareholders of Oando Plc from across the South-West states on Tuesday staged a protest in Ibadan, the Oyo State capital, and demanded that the company’s Managing Director, Wale Tinubu, should step down because of the firm’s poor financial position.
Making reference to the report of the last Annual General Meeting of the company, which was held in Uyo, Akwa Ibom State, where the External Auditor, Ernst & Young, stated that Oando reported a comprehensive loss in 2015 and 2016, the National President, Renaissance Shareholders Association, Olufemi Timothy; and the National Coordinator,
N100bn Debut Sukuk Offer Closes Wednesday
The Debt Management Office’s (DMO) inaugural N100 billion Sukuk offer will close wednesday. FBN Merchant Bank Limited and Lotus Financial Services Limited were appointed as Joint Financial Advisers to the Debt Management Office (DMO) of the federal government on the inaugural FGN N100 billion Sukuk offer.
The offer was opened to the public on the 14th of September, and is billed to close on the 20th of September following a series of investor meetings in Lagos, Abuja, Port Harcourt, Kano and Kaduna by the Advisers and the DMO, to interact with investors and provide information on the purpose, structure and benefits of the Issuance.
‘Currency speculators forced out of forex market’
After recording huge losses in naira and foreign currencies, currency speculators seem to have been chased out of the country’s foreign exchange (forex) market, The Nation has learnt. Confirming the development, President, Association of Bureaux De Change Operators of Nigeria (ABCON), Aminu Gwadabe, said with rate convergence at both the bureau de change (BDC) and parallel markets, and transaction margins narrowed to N2 in most cases, the market seems unattractive to speculative dealers.
The speculators had lost over N700 million in March, as the Central Bank of Nigeria (CBN) sustained its dollar interventions in the interbank market. The losses grew to over N1 billion in April, after the Investors’ & Exprters’ Forex Window was opened to deepen dollar liquidity in the economy.
Insider abuse: CBN probing bank directors, says Emefiele
The Governor of the Central Bank of Nigeria, Mr. Godwin Emefiele, on Tuesday said the regulator was currently looking at some cases of insider abuse by members of the board of directors of commercial banks and other financial institutions in the country.
As a result, Emefiele said the CBN would go tough on errant board members of banks and other financial institutions. According to the governor, the recent economic recession has revealed corporate governance weaknesses in the financial services sector.
Remit pension early to avoid sanction, says MD
Employers have been advised to remit their employees’ pension contribution early to avoid sanctions, Trustfund Pension Plc Managing Director, Mrs Helen Da-Souza, has said. Mrs Da-Souza gave the advice at the company’s Regulatory compliance presentation for employers’ forum/interactive session in Lagos. She said late remittance of pensions, besides sanctions, could also affect their reputation.
Mrs Da-Souza, represented by the Chief Compliance Officer, Trustfund, Mrs Racheal Obi, said thie sanctions would come after a Pension Fund Administrator (PFA) and Pension Fund Custodian (PFC) must have reported a defaulting employer to the regulator, the National Pension Commission (PenCom), as mandated by Section 69(d) of the Pension Reform Act (PRA) 2004 as repealed by PRA 2014.
Report: Tight Monetary Policy Has Been Favourable to Some Banks
The prevailing restrictive monetary policy environment in Nigeria has been favourable to some banks, a report by Renaissance Capital Limited has stated. The report titled: “Nigerian Banks: Survival of the Fittest,” obtained tuesday, stated that the relatively high yields on government securities created an environment for banks to grow their net interest income (NII) without creating new risk assets.
Yields on government treasury bills currently hover around 19-22 per cent. Examining the banks’ net interest margin (NIM) trend, the report concluded that Stanbic IBTC, GTBank and FBN Holdings have been the biggest beneficiaries of the high interest rate environment.
Flour Mills to raise N40b equity funds in three years
Flour Mills of Nigeria (FMN) Plc has registered a shelf fund raising programme with the Securities and Exchange Commission (SEC). It will allow the leading flour-milling company to raise up to N40 billion in equity funds over the next three years. Flour Mills of Nigeria (FMN) Plc Chairman, John Coumantaros, who confirmed the approval of the fund raising by the apex capital market regulator, said the board of directors had decided to raise the new equity funds in tranches.
Flour Mills plans to raise the new equity funds through a rights issue, which will proportionately allot shares to shareholders on the basis of their shareholdings as at a pre-determined date. Shareholders had at an extraordinary general meeting in 2015 authorised the directors to raise up to N40billion of additional equity funds a rights issue.
FG considers tax reliefs to fund road construction
The Federal Government said it might resort to a tax recovery funding arrangement for the execution of some major road projects in the country.
The Minister of Power, Works, and Housing, Mr. Babatunde Fashola, sad this on Tuesday in Abuja during a progress report meeting with contractors handling major road projects for the government The new arrangement, he stated, became imperative as a result of revenue shortfalls, which had made funding of projects challenging for the government.
IEI-Anchor Pension records 23.4 % growth
IEI-Anchor Pension Managers Ltd has witnessed growth in its pension assets under management, gross revenue, profit, earnings per share, RSA unit price in its 2016 financial year. The company, a Pension Fund Administrator (PFA), recorded a 23.4 per cent growth in Assets under Management (AUM), which jumped from N47 billion in 2015 to N58 billion last year.
The gross revenue grew by 21 per cent, from N451 million to N544 million for the year under review. The company returned to the path of profit this year from the previous loss position of N17 million after tax to a profit after tax position of N81 million.
Govt reconstitutes Investment and Securities Tribunal
The Federal Government has reconstituted the Investment and Securities Tribunal as a practical step towards restoring investors’ confidence in the capital market and repositioning it to contribute positively to the country’s economy.
The tribunal was dissolved in compliance with the Federal Government’s directive on dissolution of boards of parastatals, agencies, institutions and government-owned companies conveyed in circular Ref. No. SGF.19/S:18/XIX/964 dated October 16, 2015.
IMF Puts Global Cost of Bribery at $2tn Annually
The International Monetary Fund (IMF) has estimated that the annual cost of bribery — just one sub-set of corruption — to be between $1.5 and $2trillion. This, the Fund estimated to be about two per cent of global Gross Domestic Product (GDP). It argued that the costs represent the tip of the iceberg, saying the long-term impacts are much deeper.
The Managing Director of the IMF, Christine Lagarde, said this in a presentation titled: ‘Addressing Corruption with Clarity,’ at the Brookings Institution, Washington, DC, on Monday. It is believed that bribery and corruption is one of the factors that have hindered growth in a lot of African countries, including Nigeria. However, Lagarde, pointed out that in order to tackle corruption, there was the need to acknowledge the problem plainly and measure its impact accurately.
Osinbajo charges financial institutions on integrity
Vice President Yemi Osinbajo has urged financial institutions to uphold a high level of integrity and forthrightness in the discharge of their duties. Osinbajo spoke when a delegation from the Association of National Accountants of Nigeria (ANAN) paid a courtesy call on him at the Presidential Villa in Abuja.
The Vice President said financial institutions have a crucial role to play in helping the President Muhammadu Buhari administration to fight corruption, as well as in improving the country’s economy. He noted that, as a financial body, ANAN should call out individuals who are allegedly tied to some levels of financial crimes to step down from their positions, so as to help curb corruption in the financial sector.
FIRS generates N2.5tn from taxes in eight months
The Federal Inland Revenue Service on Tuesday said it generated a total of N2.51tn from taxes for the federation between January and August this year. The Executive Chairman, FIRS, Mr. Tunde Fowler, said this in Abuja at the 20th anniversary lecture and awards of the Finance Correspondents Association of Nigeria.
Out of the amount, he said oil taxes contributed about 65 per cent, while taxes from oil sources contributed the balance. He added that the agency was able to achieve the revenue collection through innovative ways of tax administration.
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