Oando Plc has denied releasing an ‘official statement‘ in response to the allegations brought up against it by the Securities and Exchange Commission (SEC).
This disclosure comes a day (Sunday) before the company was supposed to welcome an interim management team.
In a statement issued to the Nigerian Stock Exchange (NSE), the company said the alleged statement attributed to Oando Plc was not released by the company or the Chairman of Oando, HRM Oba M.A. Gbadebo.
Earlier Developments: Recall that Nairametrics reported about the conclusion of SEC’s investigation into the affairs of Oando Plc. The investigation unraveled serious infractions by the company, ranging from false disclosures, market abuses, manipulation of financial statements, internal control failures, etc.
Following the statement by SEC, Oando plc issued a statement to the NSE denying the development. This is the same statement the company is now saying it never sent out.
What Oando is saying: The company refuted the statement, and urged the public and its shareholders to be aware that the alleged ‘official statement‘ was not from Oando.
“Our attention has been drawn to an unsigned document circulating online addressed to
the Securities and Exchange Commission (SEC) and allegedly from the Chairman of
Oando PLC (the ‘Company’ or ‘Oando’).
“We would like to use this medium to inform the general public that the Company has not
officially released a statement or letter in response to the SEC. We urge the general public to be aware.”
What this means: While the alleged ‘official statement‘ had tried to defend the position and integrity of Oando Plc, this denial casts doubt over the company’s innocence in this matter. It should be noted that the earlier statement was signed by the Company Secretary, Mr Ayotola Jagun. It is still on the Nigerian Stock Exchange website right now.
What you need to know: The messy situation began about two years ago after two of its directors (Gabriel Volpi and Alhaji Dahiru Mangal) accused the company’s management of financial recklessness and denying them adequate representation on the board.
Since SEC reviewed its findings and requested the resignation of Oando’s Group Chief Executive Officer (CEO), Wale Tinubu, Oando share price crashed to 5 month low. Oando’s share price fell 9.6% to N4.20 on Friday as the news of SEC’s demand made the rounds. The stock closed the month 13.4% down and is now the lowest share price (N4.15) since January 2019.
In the meantime, the interim management team is supposed to take over the company today.