The Director-General of the Securities and Exchange Commission (SEC), Lamido Yuguda said that the commission will collaborate with the National Orientation Agency (NOA) and other regulators to tackle the activities of illegal operators.
The DG made this known at the opening ceremony of a national fact-checking course organised by the NOA on Tuesday in Abuja.
Yuguda, who was represented by Ibrahim Boyi, SEC’s executive commissioner, corporate services, said Nigeria’s investment climate has continued to witness the proliferation of illegal fund managers, popularly referred to as Ponzi schemes.
“Such schemes with all the illegality and promises of unrealistic returns have burnt the fortunes of many ambitious investors, from Yuan Dong Ponzi to Galaxy Transport, Famzhi Interbiz Limited, Cowlane and Durell, and the infamous Mavrodi Mundial Movement (MMM),” Yuguda said.
“The upsurge of these Schemes has undermined the reputation of the capital market and dampened investors’ confidence, among other things. This has created a considerable challenge to the growth of our market, and the Commission is striving to change the narrative by instilling a fair, transparent, and orderly market.”
Yuguda, however, said investors also have a huge role to play as regulators move to clamp down on merchants of fake news and Ponzi schemes.
He added that the programme would go a long way to check the scourge of fake news, misinformation, and disinformation.
“Investors are advised to always confirm if the investment product, scheme, or company is registered with the SEC before investing. This could be done through our website: www.sec.gov.ng or via email to sec@sec.gov.ng; or from other regulatory authorities,” he added.
“Investments enable growth in wealth, thus while encouraging more retail investments, we urge you to invest in investment classes and products approved by the SEC, which can be confirmed through the channels provided above.
“Disinformation in the media has long existed in different forms. However, modern fake news has attracted significant attention due to its prevalence and impact in the social media era.
“The SEC, as the apex regulator of the Nigerian capital market recognises the effect fake news can have on the market, as it can significantly impact prices in the capital market.”
Garba Abari, the Director-General of NOA, expressed the need to expand the frontiers around the issue of fake news.
He said it has become more imperative now, especially with the upcoming elections
Abari said the aim is to train 37,000 Nigerian fact-checkers cutting across different spheres of national life.
