SEC suspends deadline for multiple accounts regularisation

The Securities and Exchange Commission (SEC), has suspended the regularisation deadline for shareholders that opened accounts for the purchase of shares with different names.

According to the Commission, this was part of the outcome of the third Capital Market Committee (CMC) meeting, in Lagos, weekend. Acting Director-General of SEC, Ms Mary Uduk, said this would enable other shareholders that are having challenges with their details to come up and regularise their holdings, noting that the Commission discovered that some shareholders are avoiding it due to the fear of prosecution.

“The Multiple Subscription Committee presented the status of its ongoing engagement with the Central Bank of Nigeria (CBN), and Committee of Heads of Banking Operation, to display multiple accounts regularisation banners in the banking halls all over the country.

“The Committee also reported that CMOs have commenced the filing of report on regularised accounts with the Commission on a quarterly basis. Given the relevance of this exercise and the need to create more awareness, the Committee requested for an extension of the deadline of multiple accounts regularisation.

“We are keeping it open for now with no deadline. We are also encouraging investors to take advantage of this to regularise their accounts and claim their dividends.”She said SEC also reviewed the request from the Association of Stockbroking Houses of Nigeria (ASHON), for extension of time for compliance on the transfer of complete investor data among operators such as Brokers, Registrars, and CSCS, adding that upon completion, the Commission will communicate its position to the relevant parties.

Speaking on e-Dividend Mandate Management System (e-DMMS), introduced to curb unclaimed dividend, Uduk said a total of 2.82 million had enrolled on the platform as at the end of third quarter 2019.She pointed out that registrars had been directed to discontinue the practice of requesting for confirmation of bank signature during the E-DMMS process to tackle unclaimed dividends.Uduk also said capital market operators were to display awareness campaign banners of e-DMMS in their offices and venue of Annual General Meetings (AGMs).

She said the Non-interest Finance Committee presented the importance of granting Pension Fund Administrators (PFAs) permission to invest a given percentage of a willing contributor’s Retirement Savings Account in non-Interest capital market products.