The Chairman of the Investments and Securities’ Tribunal (IST) Dr Ngozi Chianakwalam, said the fund is seeking to have a share of the transaction feed obtainable from the capital market. This off course should include the fees paid on buying and selling of shares. According to an article in the Nation, she said;
funding remained a thorny issue in the Tribunal’s quest to deliver on its statutory mandate, adding that apart from the Federal Government’s yearly budgetary allocation which has proven to be grossly inadequate, the Tribunal has no other source of funding.
She said athough the Tribunal is an important institution in the realisation of the need to build and retain confidence of investors for the growth and stability of the Capital Market, its poor funding has led to the IST not being able to afford good remuneration and conditions of service for its members.
The IST chairman explained that denying the Tribunal a share of the capital market’s transactions fees, was against global practices, arguing that if allowed to benefit from the fees, such additional revenues would complement the tribunal’s budgetary allocations, which she pleaded, needed to be reviewed upwards.
She said the Tribunal has made several representations to government on the need for additional funding from transaction fees, explaining that allowing the Tribunal’s funding from the transaction fees, will in no way impact on transactions cost in the market, but will help to ease the pressure on government in terms of funding the Tribunal on yearly basis through budgetary allocations.
