NSE Slams N110million Fine on Oando, Vitafoam, 31 Other Firms

The Nigerian Stock Exchange, NSE, has slammed a fine of N110, 200,000 on 33 companies over default in filing their annual reports among other offenses.

Information from the NSE X-Compliance Report dated 15 April 2016 showed that the total value of penalty at N110, 200,000, varied from N100,000 to about N17 million.

Great Nigeria Insurance Plc had the highest penalty amounting to the sum of N16.9 million for default in filing its December 2013 and 2014 results as well as first, second and third quarter results for 2015.

Daar Communication Plc. was next with a penalty amounting to N13.5 million for default in filing its December 2013, 2014 results and first quarter 2015 results.

DN Tyre & Rubber Plc. followed with a fine totalling N12.8 million for defaults in filings it’s December 2104, first, second and third quarter 2015 results.

The report also featured companies that fell short of the minimum listing standards in terms of timely disclosure of their audited annual financial performance and are operating or operated Below the Listing Standards (BLS) for Non-Rendition of Audited Financial Statements 2015.

Under this category was Mutual Benefit Assurance Plc. which got a N3.8 million penalty for default in filing December 2013 and 2014 as well as Halfyear 2015 results, Vitafoam Nigeria Plc. N3.2 million for second quarter and September 2014 results, Oando Plc. N6.2 million for December 2014, first, second, third quarter 2015 results.

LASACO Assurance Plc. was levied N400,000 and is also on the watch list of companies operating Below the Listing Standard of the NSE for Non-Rendition of Audited Financial Statements 2015 other of such companies are Equity Assurance Plc. N600,000, R.T Briscoe Plc N1.5 million, and Ellah Lakes Plc. charged N100,000 for default filings of July 2015 results and Non Rendition of Second Quarter Interim Report 2015.

Other companies charged but not on the regulators BLS watch list were Guinea Insurance Plc- billed a total of N7.6 million for first, second, third quarter 2015 and December 2014 results. Aso Savings and Loans Plc., African Alliance Insurance Plc. and Resort Savings & Loans Plc. also received a penalty of N3.7 million, N4.2 million and N4.3 million respectively for December 2013 erring’s

Nigerian Enamelware Co Plc. was not left out as it received a fine N1.6 million, eTranzact Int’l Plc. N2.7 million, and Universal Insurance Plc. N5.3 million.

For default in filing December 2014 results, C & I Leasing Plc., Nigerian Ropes Plc., NEM Insurance Plc., Japaul Oil and Maritime Plc., and Regency Assurance Plc., were sanctioned with N1.3 million, N100,000, N300,000, N400,000, and N700,000 respectively while Fortis Microfinance Bank Plc., was billed to pay the sum of N600,000 for default in Dec. 2014 and HY 2015.

Likewise, Staco Insurance Plc. got N700,000, Niger Insurance Plc. N700,000, Linkage Assurance Plc N900,000, Studio Press Plc. N900,000 and Omoluabi Savings & Loans Plc. N1.6 million for December 2014

Ecobank Transational Incorporated was fined N200,000 for default in filing its Full Year ended December 2015 results, while NASCON Allied and Industries Plc., and Union Diagnostic and Clinical Services was levied N100,000 each for default in Half Year (HY) 2015 financials. Multiverse Plc. defaulted in filing its December 2014 and HY 2015 thus received N1.8 million in fine, while NCR Nigeria Plc., had a total of N4.8 million for first, second, third quarter 2015 result default.

The NSE X-Compliance report further revealed that these penalties levied on companies were for failure to file their 2013, 2014 and 2015 Financial Statements after the regulatory due date. It further explained that the Exchange applied sanctions in accordance with the provisions of Section 14 of Appendix 111 of the Listing Rules.

The report also appraised Guinness Nigeria Plc, Forte Oil Plc and Nigerian Breweries as companies that have exceeded the minimum listing standards in terms of timely disclosure of their Audited Annual and quarterly financial performance.

“The Exchange is extremely proud of these companies and will continue to show case quoted companies that imbibe high corporate governance practices,” it stated.