SEC crisis: Senate cautions FG against scaring investors away

By Ikechukwu Okaforadi

The senate has cautioned the federal government against taking actions
that has the potentials to scare investors in the Nigerian Capital
Market, warning that the regulators of the market should be allowed to
do their jobs.

Speaking on the heels of the recent conflict between the Director
General of the Nigerian Stock Exchange Commission (SEC), Munir Gwarzo,
and the Minister of Finance, Kemi Adeosun, the chairman of the Senate
committee on Capital Market, Bukar Mustapha, warned that the issue
should be treated with caution.

He said the interest of the Senate is to ensure that the confidence of
the investors is not affected negatively regarding their investment in
the market, adding that the regulators should be allowed to implement
their guidelines in the operation of the market.

“SEC is a regulator in the capital market, and what we want is to
ensure that the confidence given by the regulator to the investors in
the Nigerian capital market is something that must be maintained. And
I am sure that government does not do things without reasons, so our
job as legislators will be to find out what are these reasons”, he
said.

Speaking further, Senator Bukar Mustapha said though many reasons have
been reported in the news for the suspension of the SEC DG, the duty
of the Senate committee is to go and find out what is the actual
reason behind the conflict so as not to loose investors confidence in
the market.

He maintained that the capital market is a very important arm of
Nigerian economy, adding that the senate will not relent in resolving
the crisis so that it does not drag on to the extent that it will
affect the Nigerian capital market. He said the committee will look at
the various issues raised and consider the recommendations so that the
crisis does not repeat itself.

He recalled that there are two issues in the conflict, including the
allegations that he was paying himself from the revenue and the issues
of the Oando Oil saga.

He said the regulator has recommended that there should be a forensic
audit, adding that the senate will wait for the House of
Representative to conclude its investigation on the matter, pointing
out that it is only when the senate is not satisfied with the work
done by the committee of the House that it will further carry out
investigation.