The Securities and Exchange Commission has suspended BGL Plc and its sponsored individuals from all capital market activities.
The commission’s Executive Management Committee had taken the decision at its meeting on Tuesday after considering the report of a detailed investigation into various complaints received from investors against subsidiaries of BGL Group, a statement from the commission said.
Specifically, it was decided “that BGL Asset Management Limited, BGL Capital Limited and BGL Securities Limited be suspended from all capital market activities”.
It was also decided that “all sponsored individuals of BGL Asset Management Limited, BGL Capital Limited and BGL Securities Limited whose particulars are contained in the commission’s record as of December 2014 be suspended from performing any capital market activity”.
The Group Managing Director, BGL Group, Mr. Albert Okumagba, who stepped aside as the President, Chartered Institute of Stockbrokers recently as a result of the SEC investigation, was also sanctioned.
The SEC EMC directed “that Mr. Albert Okumagba, the Group Managing Director of BGL Group, should cease to be a registered sponsored individual with the commission following the withdrawal of the registration of BGL Plc as a capital market operator. He is therefore no longer entitled to carryout capital market activities”.
The commission said that all suspicious transactions observed in the course of the investigation had been referred to the appropriate law enforcement agencies for further investigation.
It added that BGL Asset Management Limited, BGL Capital Limited and BGL Securities Limited and all individuals involved in the management of the said companies had been referred to the SEC Administrative Proceedings Committee, which would give all parties to the cases a fair hearing.
The SEC had in April suspended the Board and management of BGL and instituted an interim management team headed by Mr. Oladipo Aina for the company after investigating petitions against it.
The Director-General, SEC, Mr. Mounir Gwarzo, had said last month that the commission would take further action on the matter based on the findings of the IMT.