Don't Miss


Home   >   Nigerian Stock Exchange   >   SEC to develop whistle blowing mechanism

SEC to develop whistle blowing mechanism

By on July 3, 2013

THE Securities and Exchange Commission, SEC, is on the verge of developing a whistle blowing mechanism that would further guarantee investors’ confidence in the capital market.

SEC Chairman, Dr. Suleyman Ndanusa, who disclosed this at the launch of the National Association of Securities Dealers (NASD) Over-the-Counter (OTC) market in Lagos, said “SEC would soon come out with a detailed whistle blowing mechanism  that will help impede fraudulent acts capable of undermining market integrity.

According to him, “Our mandate at the Commission in regulating and developing the capital market is largely underscored by issues of transparency, liquidity and risk management towards creating enablers that would drive the capital market to achieve its purpose of harnessing long-term funds for economic development

“When I resumed as chairman of SEC, we consulted widely and identified the following key areas of concern that must be  tackled head-on: Enforcement of rules and regulations,  zero-tolerance  to infractions,bolstering investors confidence through full-disclosure and compliance with good corporate governance practices, aggressive investor education and complaints management, establishment of functional and sustained whistle blowing mechanism, implementation of dematerialisation of share certificates and e-dividend, operationalisation of e-filing process and  actualising the demutualisation of the Nigerian Stock Exchange.”

Continuing, he said “Our commitment in these areas are very clear as we seek to entrench more openness, more inclusiveness, better transparency, availability of information that is timely, complete and undiluted. For small and public companies that will form the trading nucleus of the OTC market, they will largely leverage on these achievements when fully realised.”

While commenting on the newly launched NASD OTC Market, he said “Our primary aim of introducing the NASD OTC market is to further deepen the capital market by increasing listings, and also creating more opportunities for investors to participate in the market.”

 

 

 

[Vanguard]