Filing Compliance Level by Quoted Companies Improves to 85%
By Goddy Egene
Filing compliance by quoted companies has improved from less than 25 per cent in December 2011 to over 85 per cent as at 30th September 2016, the Securities and Exchange Commission (SEC) has said.
The capital market regulator noted that the implication of this development has been the significant improvement in the access and quality of information about quoted companies now available to the investing public to make more informed investment decisions.
“All categories of investors (retail, domestic institutional and foreign investors alike) stand to benefit from this improved market behaviour. The SEC will continue to pursue policies that sustain this momentum,” the commission said in a statement obtained by THISDAY.
According to SEC, it will continue to live up to its responsibility of investor protection by sustaining market fairness and integrity.
“Sometimes this may entail applying strict sanctions as provided in the law against erring participants. In our considered opinion, maintaining a posture of zero tolerance has presented a credible deterrence that is already improving compliance levels across our market and reducing the number of infractions. It is noteworthy that the fines and penalties applied by the commission has led to a massive improvement in filing compliance,” it said.
SEC recently restated its determination to protect investors in the nation’s capital market, following the return of wonder banks. An official of SEC told THISDAY last Wednesday that the commission was aware of the gradual return of some wonder banks that are luring some gullible investors into parting with their money instead of investing in registered schemes or through licensed market operators.
“One of the major functions of SEC is investor protection and the commission is highly committed to doing this and has put necessary strategies in place to ensure investors are protected in the market. We are aware of the losses investors have suffered in the past and we are doing everything to avoid its repeat,” the official said.
Following the emergence of a wonder bank, MMM Federal Republic of Nigeria, some stakeholders called on the SEC to collaborate with law enforcement agencies and other relevant bodies to stop the activities of online fraudsters who float unregistered fun
Although SEC had warned the investing public to stay away from against the MMM but the operators of the fund are still calling on unsuspecting investors for patronage. However, an investor, Mr. Moses Igbrude of Independent Shareholders Association of Nigeria (ISAN) told THISDAY that SEC should work with law enforcement agencies and the Nigerian Communication Commission (NCC) and track those behind the fund and bring them to book before gullible investor fall victim.