NGX Imposes N123.17 Million Fines on 15 Companies

The Nigerian Exchange (NGX) has fined 15 companies a total of N123.17 million for late submissions of audited and interim financial statements, as detailed in the latest NGX RegCo X-Compliance Report. The penalties include N87.30 million for audited accounts and N35.87 million for interim statements.

Experts, including Dr. David Walter Ogogo, Pioneer Registrar of ICMR, have expressed concerns that financial penalties alone may not deter repeated breaches and have suggested that persistent defaulters be referred to the Securities and Exchange Commission (SEC) for further action. Charles Fakrogha of ECL Asset Management Limited emphasized the need for direct engagement with company boards, while Aruna Kebira, CEO of Globalview Securities Limited, highlighted the importance of timely disclosures as a fundamental obligation.

The report indicates that compliance has improved for some companies but worsened for others, raising questions about the effectiveness of current sanctions in ensuring timely financial disclosures.