Finally the Nigerian Stock Exchange has penalised companies for failing to meet deadlines for submission of their Earnjngs report for the year ended December 2012. I think this is a step in the right direction considering how important it is to have their financial statements on time. For some of us who regularly rely on this information for investment decisions and analysis of companies this is a welcomed development. The NSE rules requires companies to submit annual report on the three months after their accounting year. The NSE extended this further by one month yet a host of companies defaulted. About 25 of them in the Insurance industry.
See list below;
The report indicated that Oando was directed to pay N600,000 while Dangote Flour Mills Plc was penalised N500,000. Others included Transnational Corporation of Nigeria (Transcorp), N300,000; Multiverse, N300,000; MRS Oil and Gas, N200,000; Wapic Insurance, N700,000; NCR Nigeria, N900,000; May & Baker Nigeria, N200,00 while Daar Communications, a perennial defaulter, was fined the highest sum of N3.4 million.
The companies tagged for failure to submit their annual reports within extended deadlines included AIICO Insurance, Eterna, Union Homes Savings & Loans, Omatek Ventures, Vono Products, Resort Savings and Loans, DN Meyer and Beco Petroleum.
There was also large concentration of defaulters in the troubled insurance subsector with not less than 25 insurance companies penciled down as defaulters. Besides AIICO, other defaulting insurance companies included African Alliance, Continental Reinsurance, Cornerstone Insurance, Custodian and Allied, Equity Assurance, Goldlink Insurance, Great Nigeria Insurance, Guinea Insurance, International Energy Insurance, Lasaco Assurance, Law Union and Rock Insurance, Linkage Assurance, Mutual Benefit Assurance, NEM Insurance, Niger Insurance, Oasis Insurance, Prestige Assurance, Regency Alliance Insurance, Sovereign Trust Insurance, STACO, Standard Alliance, Unic Insurance, Unity Kapital Assurance, Universal Insurance Company and Investment and Allied Assurance.
Other defaulters included Nigeria Energy Sector Fund (NESF), Nigerian-German Chemical, Rak Unity Petroleum, PS Mandrides & Co, FTN Cocoa Processors, Big Treat, UTC Nigeria, Fortis Microfinance Bank, Royal Exchange Nigeria, Starcomms, MTI, IPWA, Nigerian Wire & Cable, Capital Hotel, Ikeja Hotel, Daar Communications and MTECH Communications.