By Peter Egwuatu
The Securities and Exchange Commission (SEC) has disassociated itself from an alleged statement credited to shareholders that the implementation of its new rules wasÂ being delayedÂ as a result of the delay in the ministerial approval and thus inimical to the growth of the stockÂ market.
According to aÂ a statement signed by the Head, Media, SEC, Mr. Lanre Oloyi , â€œ OurÂ attention has been drawn to aÂ report in one of the national dailies, stating that the slow ministerial approval of SEC rules was inimical to the growth of the stock market.Â This view, which was attributed to some shareholders is far from the truth and intended to malign the honourable minister.
â€œFor the avoidance of doubt, section 313 of the Investments and Securities Act, 2007 (ISA) gives the Commission the power to make rules and regulations for the capital market. When such rules are made, and endorsed by the board, they are exposed to stakeholders for their input which are taking into consideration before such rules are forwarded to the Honourable Minister of Finance for endorsement.
The Honourable Minister may modify, amend or rescind such rules. However, such rules and regulations become effective fifteen days after receipt by the Minister unless the minister, before the expiration of the fifteen days directs that it be modified, amended or rescinded as contained in section 313(4) of the Act.â€
He emphasized that the Commission enjoys the cooperation of itsÂ supervising ministry, particularly under the current dispensation and, stating â€œÂ nothing to suggest that they have acted against the interest of the capital market and indeed the Commission.We wish to appeal to stakeholders to be guided by their comments to avoid sending wrong signal to the market. To restore investor confidence in the market is a collective responsibility