Oando crisis: Adeosun queries SEC, removes Zubair as acting DG

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Oando crisis: Adeosun queries SEC, removes Zubair as acting DG

Oando crisis: Adeosun queries SEC, removes Zubair as acting DG
April 14
07:53 2018

The Minister of Finance, Mrs. Kemi Adeosun, on Friday removed Dr. Abdul Zubair as the acting Director-General of the Securities and Exchange Commission.

The removal was confirmed in a statement issued by the Special Adviser to the Minister of Finance, Mr. Oluyinka Akintunde.

The statement said following his removal as acting SEC DG, Zubair had been redeployed to the External Relations Department.

Zubair was appointed as acting SEC DG on November 29, 2017 after the suspension of Mounir Gwarzo for alleged abuse of office.

The minister also named Ms. Mary Uduk as the acting Director-General of the commission, the statement added.

It said Uduk’s appointment was governed by the provisions of the Investments and Securities Act, 2007 and the conditions of service applicable to the DG of the commission.

The statement read in part, “The minister, in a letter dated 13th April, 2018, said Uduk’s appointment had become necessary to ensure effective regulation of the capital market. Her appointment will, subject to satisfactory performance, subsist until further notice.

“The minister also announced the redeployment of the former acting Director-General of the Commission, Dr. Abdul Zubair, to External Relations Department.”

The minister has also queried the commission, asking it to explain the miscommunication that occurred between SEC and the Nigerian Stock Exchange over the lifting of the technical suspension of the shares of Oando Plc.

The miscommunication, according to the statement, affected the confidence in the market negatively.

It said, “The Federal Ministry of Finance has requested a formal explanation from SEC on the recent communications between the commission and the Nigerian Stock Exchange, which adversely impacted market confidence.”

The statement also said that the finance minister had approved Reginald C. Karawusa as acting Executive Commissioner, Legal and Enforcement; Isiyaku Tilde as acting Executive Commissioner, Operations; and Henry Roland Adekunle as acting Executive Commissioner, Corporate Services.

While explaining the reason for the lifting of the technical suspension on Oando shares, Zubair had told journalists on Thursday in Abuja that the lifting of the suspension was done in the interest of the market.

He said contrary to speculations that there was a disagreement between SEC and the NSE in the process of lifting the suspension, the commission was not in dispute with any agency.

He said before the decision was reached, the management of Oando as well as the umbrella body of all shareholders’ union in the company made written submissions for the suspension to be lifted.

Zubair said while suspension of shares from trading on the floor of the NSE was usually for a short period, that of Oando extended beyond the normal period owing to litigations instituted by the shareholders.

He said as a result of the court cases, the commission as a law abiding agency of government was constrained to either continue with the forensic audit or lift the suspension.

He said with the withdrawal of the suit in February, the forensic audit had resumed while the technical suspension was lifted.

Zubair said, “The shares of Oando Plc were placed on technical suspension in October 2017 upon the announcement of forensic audit which aimed to protect investors as a short-term measure. Suspensions are typically intended for a short period to ensure market stability and thereafter lifted to allow market dictates.”

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