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Uche Usim, Abuja
Following a catalogue of complaints from Oando Plc over alleged high-handedness of the Securities and Exchange Commission (SEC0) leading to the forced resignation of the management, the regulator on Sunday affirmed that the embattled oil firm was given sufficient opportunity to state its side of the story before being sanctioned.
According to a statement from SEC, various opportunities were made available to the indicted top Oando management to defend themselves during the investigation and forensic audit.
SEC said: “The attention of SEC has been drawn to various reports questioning the regulatory authority of the SEC, insinuating lack of due process in the investigations of Oando Plc.
“To put the records straight, the SEC hereby states that fair hearing is a paramount and fundamental principle, which the Commission as a law abiding agency adheres to in all its investigative processes. In the course of the investigations, communications including letters and phone calls were exchanged and meetings held between the Commission and Oando Plc, requesting for its comments and explanations on issues relating to the investigations. The findings of the Commission were communicated to the Group Chief Executive Officer of Oando Plc by a letter dated July 10, 2017.
The Commission said it subsequently engaged Deloitte & Touche to conduct a Forensic Audit on the activities of Oando Plc.
SEC said in the course of conducting the forensic audit, Deloitte & Touche, held regular sessions with members of the Board and senior management of Oando Plc, and afforded them the opportunity to provide explanations on issues relating to the audit.
“The Commission confirms that Oando Plc was given sufficient opportunity of being heard and accorded several opportunities to rebut the issues revealed by the investigation. The responses given by Oando Plc, were however considered unsatisfactory; prompting, the decision by the Commission to penalise the company and some of the individuals related to it for violations of securities laws.
“The actions of the Commission were properly effected pursuant to the provisions of the Investments & Securities Act (ISA) 2007 and the SEC Rules and Regulations made pursuant to the ISA 2007” the SEC said.
The Commission said these facts have been properly articulated in the court process it filed at the Federal High Court in response to the suit instituted by the Group Chief Executive Officer and Deputy Group Chief Executive Officer of Oando Plc.
Meanwhile, Two independent non-executive directors of Oando Plc have resigned from the company’s board.
Sena Anthony and Oghogho Akpata have both informed the Nigerian Stock Exchange (NSE) about their decisions. In their separate resignation letters dated June 3, 2019 and addressed to the company secretary/chief compliance officer of Oando, they did not give any reasons for their decision.
The directors said however, that they are “unhappy” with the outcome of the forensic investigation by the Securities and Exchange Committee (SEC), the stock market regulator, which indicted a number of the company’s executives and directors.
