The Securities and Exchange Commission (SEC) on Thursday banned Managing Director of BGL Plc, Albert Okumagba and his deputy, Chibundu Edozie from operating in the capital market for 20 years.
They were both given the axe based on complaints SEC had received from investors against Okumagba and his company over failure, refusal and or/neglect to liquidate their investments in both the Guaranteed Consolidated dated Notes and Guaranteed Premium Notes, two investment products run by the company.
SEC had suspended Okumagba and BGL from operating in the market last year and has since been investigating the complaints.
During the course of investigations, Okumagba was removed as the President of Chartered Institute of Stockbrokers (CIS).
Apart from the ban placed on them and some monetary fines, BGL Plc has been directed to refund N24.034 million to the National Open University Staff Cooperative Multipurpose Society; N1.876 billion to Delta State Ministry of Finance; N204.832 million to Azort Nigeria Limited; N10.970 million to Prof. Ojuah Umunnakwe; N3.039 million to Orsule Awase and N10.747 million to Mahmoud Usman.
In a bid to obtain justice for the complainants and grant all parties fair hearing, SEC said the matter was taken before the Administrative Proceedings Committee (APC) of the commission which sat on February 6, 2016. During the proceedings, various testimonies and documentary evidence were submitted by various parties.
According to SEC, APC decided that by their actions and/or omissions BGL Securities Limited, BGL Asset Management Limited, Okumagba, Edozie, 5th, 6th, 7th, 8th, 9th, 10th, 11th, 12th, 13th, 14th, 15th, 16th, 17th, 18th, 19th, 21st and 22nd respondents engaged in acts capable of adversely affecting the investing public’s image of, and confidence in the capital market.
According to SEC in a released statement, “That pursuant to Section 304 of the Investments and Securities Act 2007 all information on possible criminality in this matter be and is hereby referred to the appropriate law enforcement agencies and the Enforcement Department of the Commission shall follow up and ensure that the matter is brought to a logical conclusion,”
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