By Omoh Gabriel Business Editor
THE Securities and Exchange Commission team which joined the CBN, NDIC and EFCC in investigating the bailed out banks has submitted a separate report to the capital market authorities.
Consequently, SEC will soon commence hearing on indicted operators in the capital market. Expected to be questioned by the SEC Administrative Committee to explain their role in the collapse of share prices and the unwholesome discoveries by the Central Bank of Nigeria and Nigeria Deposit Insurance Corporation examiners in the banks in the ongoing reforms in the banking sector are bank registrars, stock brokers and issuing houses.
The commission in a statement said it will summon market operators over infractions in the capital market.
Its words: â€œFollowing the submission of the report of Securities and Exchange Commission (SEC) team of investigators that reviewed transactionsÂ of capital market operators including those of the bail out banks by the Central Bank of Nigeria (CBN), the Commission shall, from November 9, 2009 invites some capital market operators to its Administrative Proceedings Committee (APC) hearing, to explain their roles in unwholesome practices in the market.
At the end of the hearing, the Commission would impose appropriate sanctions on erring operators found to have engaged in acts that have brought disrepute and erosion of investorsâ€™ confidence to the capital market.
The APC is an administrative panel of the Commission that adjudicates on infractions in the capital marketâ€ the statement said.
Sunday Vanguard investigation showed that the Securities and Exchange Commissionâ€™s team was part of the CBN, NDIC, EFCC and SSS team that investigated the affairs of the troubled banks. While the CBN and NDIC looked into the practices of the banks, the SEC team examined the capital market transaction activities of the banks and other market operators.
The team has come up with a separate report that has indicted a number of operators in the capital market which activities has been referred to the Administrative Panel of the Commission for adjudication.
Out side the bailed out banks the SEC team investigated other operators who were found to have infringed on the operating rules and regulations in the capital market. SEC action is part of its own contribution to the on going reforms to bring stability to the capital market.