SEC Warns Against Capital Depletion As Leadway Assurance, 156 Others Fail To File Returns

Nigeria’s capital market regulator, the Securities and Exchange Commission has blacklisted 157 firms over capital erosion and non remittance of statutory returns.

SEC said the capital market operators risk losing their licenses over the alleged non remittances.

The regulator said this on Wednesday in a Pre-Notice on Withdrawal of Certificates.

The Commission also alleged that some of the 157 firms including Leadway assurance, Cornerstone Asset management Ltd and NICON Trustees Ltd , among other operators were already affected by policy changes.

Is said the firms “have consistently failed to render their statutory returns to the Commission, had their capital eroded, while others were affected by policy changes.”

Consequently, the Commission said the companies were required within the next 23 days to explain why the regulator should not withdraw their licenses.

“The Commission hereby request the affected CMOs to make presentations to the Commission, on or before 13th November, 2020, giving reasons why their registration should not be cancelled,” SEC said.

The list of the firm include: 2AS Amao Consult, Adamawa Securities Limited, AIMS Asset Management Limited, Fund/Portfolio Manager, AIQ Venture Capital Fund Managers Limited, Allbond Investment Limited, Amalgamated Capital Funds Ltd, Arnold Portfolio Co., Associated Investment Trust Co. Limited, Bayhead Alpha Capital Ltd.

Bendu Peter Ser. Nig. Ltd, Bluebird Capital Limited, Boston Capital investments limited, Brickfield Road Associates Ltd, Bytofel Trust and Securities Ltd, Cadington Securities Ltd, Capital Partners Limited, Capital Structures Ltd, CDL Asset Management Ltd, Circular Trust Ltd.

The list also include Citi Asset Management Ltd, Citizens Investment and Securities Ltd, City Investment Management Ltd, Consolidated Discount Ltd, Investment Adviser,  Consolidated Investment Limited, Consult and Capital Limited, Cornerstone Asset Management Ltd, Corporate Diamond Securities and investments Limited, Custodian and Allied Insurance Plc among others.