By  PETER EGWUATU

Shareholders, under the aegis of Proactive Shareholders Association of Nigeria (PROSAN) have called on the regulators in the Nigerian capital market and other stakeholders to move for the amendment of Companies and Allied Matters Act (CAMA) in order to achieve a modern, better and efficient market.

The Chairman of PROSAN, Mr. Oderinde Taiwo, who spoke for his Group, said, “As our great nation Nigeria celebrates her 52nd Independence Anniversary, this is a clarion call on our regulators and other capital market stakeholders to  move for an  amendment of  CAMA).”

“There have been lots of development in the capital markets all around the globe via innovations and amendments of this type. The last time our CAMA was amended was in the year 1990.

Therefore, we are calling on the Presidency, the Senate & House Committees on Capital market, the Judiciary ,the Federal Ministry of Finance, Securities and Exchange Commission (SEC), Nigerian Stock Exchange (NSE),

Investment and Securities Tribunal (IST) ,Companies, Shareholders Associations & other capital market stakeholders to take this timely suggestion seriously and to have inputs in this proposed CAMA amendment” he declared.

Commenting further, Oderinde, said, “There are lots of ready  made issues in the code of conducts for the capital market stakeholders by SEC that can be included. Also, the use of modern Information Technology in the operation of our capital market  that will facilitate innovations such as e-Dividend, e -Annual report, e-Notice of meetings, bonus among others.”

Stressing the importance of the amendment, PROSAN boss highlighted that what the amendment will do is to empower the legal framework and the operations of our capital market for maximum delivery.

According to him, “Also, the proposed amendment will make our capital market to become a modern and sophisticated like her contemporaries in other jurisdictions of the world. Consequently, foreign investors will be attracted by this development.”

Furthermore, he called on the Federal Government to reduce the ten per cent withholding Tax on Dividends that was introduced during CAMA amendment of 1988 during General Babangida administration, saying, “This can be reviewed downwards to five per cent withholding Tax. Finally, for the sake of development and modernization of our capital market, there is no better Independence Anniversary gift we need in our capital market than an amendment to our CAMA.”