SEC Cancels Mainland Trust Registration, Suspends Centurion Registrars

The Securities and Exchange Commission (SEC) said it has cancelled the registration of Mainland Trust Limited and the suspension of Centurion Registrars.

The commission, in separate circulars issued at the weekend said, the sanctions were imposed following the failure of both firms to comply with regulatory directives.

The circular on Mainland Trust Limited said, “the Securities and Exchange Commission hereby notifies the general public that the registration of Mainland Trust Limited as a capital market operator has been cancelled with immediate effect.

“This cancellation order is made pursuant to the powers of the Commission under Section 38(4) of the Investments and Securities Act, 2007and Rule 34(1)(e) of the SEC Consolidated Rules and Regulations 2013.

“The Commission’s decision is informed by the company’s failure to comply with regulatory directives and non-resolution of several complaints against it. All clients of Mainland Trust Limited are by this notice advised to contact the Central Securities Clearing Systems Plc (CSCS) for appropriate guidance on the transfer of their stocks to another stockbroker of their choice.”

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The circular stated that, the Nigerian Exchange Group (NGX), the Institute of Capital Market Registrars (ICMR), the Chartered Institute of Stockbrokers (CIS), the CSCS and all Capital Market Trade associations are directed to discontinue capital market related dealings with the company.

Similarly, SEC announced the suspension of Centurion Registrars Limited, its directors and sponsored individuals from Capital Market activities with immediate effect.

SEC stated, “the suspension order is made pursuant to the powers of the Commission under Section 38(4) & (5) of the Investments and Securities Act, 2007 and Rule 34(1)(e) of the SEC Consolidated Rules and Regulations 2013.

The Commission’s decision is informed by the company’s failure to comply with regulatory directives and non-resolution of several complaints against it.

“All clients of Centurion Registrars Limited are advised to contact Africa Prudential Plc for appropriate guidance on the transfer of their portfolios to another Registrar of their choice. In addition, the NGX Group, ICMR, CIS, CSCS and all Capital Market Trade Association are directed to discontinue capital market related dealings with the company and its principal officers,” he pointed out.

The commission also stated that, in furtherance of the Commission’s unwavering commitment to the maintenance of a zero tolerance for infractions in the Nigerian Capital Market and in line with its revised enforcement strategies, stakeholders and the general public are hereby informed that henceforth, the names of Capital Market Operators (CMOs) found to have violated market laws/regulations would be published in the Commission’s ‘name and shame’ journal.

It added that, “the publication would be in addition to the sanctions/penalties for the respective infractions prescribed in the ISA 2007 and the SEC Rules and Regulations.

“This enforcement strategy underscores the Commission’s dedication to safeguarding the integrity and stability of the Nigerian capital market, protecting investors, and ensuring strict adherence to established rules and regulations.”