By Obas Esiedesa, Abuja
The Securities and Exchange Commission, SEC, has declared that Capital Market Operators, CMO, who fail to renew their registration before May 31, 2021, will not be allowed to operate in the market.
The Commission which issued an update on CMOs registration on Monday explained that those yet to renew their registration at the expiration of late filing which is May 31, 2021, “shall not be eligible to operate in the capital market”.
SEC management in the circular stated that “in line with the requirements for renewal of registration, all CMOs were required to have completed the renewal process on or before April 30, 2021”.
The Commission stated that “all CMOs are expected to note that late filing for renewal of registration shall only be entertained from May 1, 2021, to May 31, 2021, while the names of CMOs which have renewed their registration shall be published on the SEC Website/National Daily Newspapers and communicated to the relevant Securities Exchanges and Trade Associations for their notification”.
SEC had on March 23, 2021, issued a circular to the general public and CMOs in particular, of the reintroduction of the periodic renewal of registration by Capital Market Operators.
The Commission stated that the reintroduction of renewal of registration is premised on the need: to have a reliable data bank of all CMOs registered and active in the Nigerian Capital Market,
“To provide updated information on operators in the Nigerian Capital Market for reference and other official purposes by local and foreign investors, other regulatory agencies and the general public, to increasingly reduce incidences of unethical practices by CMOs such as may affect investors’ confidence and impact negatively on the Nigerian Capital Market and to strengthen supervision and monitoring of CMOs by the Commission.
The Commission said it has amended its rules and reintroduced the requirement for yearly renewal of registration by all CMOs.
This process will be carried out electronically in order to ensure efficiency, it added.