By Peter Egwuatu
THE Securities and Exchange Commission, SEC has approved the suspension of Rule 42 (5)(e) of the Consolidated Rules and Regulations of the Commission for 90 days, effective February 25, 2015.
The announcement of the suspension was released yesterday at the commission’s website.
The suspended rule provides: “Membership of an Audit Committee shall be for a term of three (3) years, subject to good performance; Provided, that such Member shall not be eligible for re-election until the expiration of three (3) years after his previous term”.
The commission explained that the suspension is to allow it sufficient time to enhance the provisions of the said rule and align it with best practice.
Meanwhile, the commission had signed a Memorandum of Understanding, MoU with its counterpart in Angola.
This came on the sidelines of the 34thInternational Organisation of Securities Commission, IOSCO AMERC Annual Meeting/Conference held in Muscat, Oman on the 24th February 2015, where an MoU was signed between the Nigerian Securities and Exchange Commission and the Angolan Comissão do Mercado de Capitais (CMC).
The MoU covers areas of technical support and information sharing between the two countries and seeks to further facilitate exchange of information on issues of common interest between regulators; promote the identification and discussion on specific issues of common interest as well as encourage signatories to develop their markets.
The signing of the MoU was witnessed by the IOSCO Secretary General, Mr. David Wright.