Oando Plc enters into settlement with SEC

Oando Plc has entered into a settlement with the Securities and Exchange Commission (SEC) in the overriding interest of the shareholders of the company and the capital market.
This is according to a circular released SEC by on Monday in Abuja and signed by the Management of the Commission.
According to it, the company has reached a settlement with the commission on certain terms amongst others.
They are immediate withdrawal of all legal actions filed by the company and all affected directors, payment of all monetary penalties stipulated in the commission’s letter of May 31, 2019 and an undertaking by the company to implement corporate governance improvements.
It added that part of the terms also requires the submission by the company of quarterly reports on its compliance with the terms of the Settlement Agreement, the Investments and Securities Act, 2007 and the SEC Rules and Regulations.
Others are the National Code of Corporate Governance and the SEC Guidelines to the Code of Corporate Governance.
“Pursuant to the powers conferred on SEC, (the commission) by the Investments and Securities Act 2007, and the Rules and Regulations made pursuant thereto, the Commission on July 15, entered into a Settlement with Oando Plc (the Company).
“The commission in its letter to the company dated May 31, 2019, gave certain directives and imposed sanctions on the company, following investigations conducted pursuant to two petitions filed with the commission in 2017.
“The company and some of its affected directors had challenged the said directives in a series of suits commenced at the Federal High Court.
“However, the company subsequently approached the commission for a settlement of the matter, and both parties have now agreed to settle.
“This is in consideration of the impact that a further prolonged period of litigation would have on the company’s shareholders and the value of their investments as well as remedial measures to be put in place by the company in enhancing its corporate governance practices and strengthening its internal control environment.”
SEC, however, reiterated its commitment to ensuring the fairness, transparency and integrity of the capital market, while upholding its mandate to protect investors.