The Securities and Exchange Commission (SEC) stated that it is willing to work with competent Alternative Dispute Settlement (ADR) experts to ensure adequate capital market dispute resolution.
This was revealed when the Abuja Chapter of the Chartered Institute of Arbitrators (CIArb), led by its chairman, Mr Sola Ephraim-Oluwanuga, met with the Director-General of the Securities and Exchange Commission (SEC), Mr Lamido Yuguda.
What SEC is saying
Mr Lamido Yuguda said that conventional litigious and adversarial dispute resolution mechanisms have failed to achieve their goals. If investor issues are not appropriately addressed, investment in the industry will suffer.
He said, “The whole nature of the market is that people come together to make investments. But along the line, something happens, and the same people fall out.
“And the problem with investment is that if the true parties to investment fall out, investment falls. We understand that both parties usually cling to their positions, but there is an ideal situation, which could benefit both parties. This is where an arbitrator is needed to bring them to that position. And that arbitrator, who is seen as independent, performs his professional duty by talking to the parties.”
The statement had a warm reception as Mr Ephraim-Oluwanuga, the Chairman of the CIArb, has previously stated that the institution was interested in collaborating with the SEC to improve access to justice in the securities industry.
Mr Ephraim-Oluwanuga said that CIArb had trained qualified international arbitrators with competence in capital market issues. The institute can help the SEC with training and capacity building.
