Nigerian Exchange fines banks, 18 others for late filings

The Nigerian Exchange has slammed a fine on eight banks and 18 other listed companies for failing to file their 2022 audited financial statements and quarterly reports for the first half of 2023 as required.

The affected banks are Unity Bank, FBN Holdings, Access Holdings, Fidelity Bank, Jaiz Bank, Wema Bank, Guaranty Trust Holdings Plc and Ecobank Transnational Incorporated.

John Holt, PZ Cussons, Notore Chemical, Glaxo SmithKline Consumer Nigeria, Industrial Medical and Gases Nigeria and Juli Plc were also affected by the sanction.

Following the NGX’s post-listing rules, quoted companies are required to submit their audited results, not later than 90 calendar days, or three months, after the expiration of the period. The rules also require quoted companies to submit interim reports not later than 30 calendar days after the end of the relevant period.

Based on the latest X – Compliance Report issued by the regulatory arm of the Nigerian Exchange, FBN Holdings was fined for delay in submitting its 2022 financial results and its quarter one report for 2023. The lender paid N6.3 million for the former offence and paid N3.3 million for the latter.

For failing to submit its 2022 results on time, Unity Bank paid N6.4 million and another N3.4 million for the delay in submitting its interim reports for Q1, 2023.

The report showed that Fidelity Bank, GTCO and Wema Bank paid N2.7 million, N1.4 million, and N1.9 million, respectively as fines.

While Access Holdings paid N2 million, Jaiz Bank, Ecobank, and John Holt coughed out N600,000, N3.2 million and N3.2 million respectively as penalties.

The NGX fined PZ Cussons N4.8 million, Notore Chemical paid N500,000 and GSK, which announced the closure of its operations in Nigeria also paid a fine of N1.3 million for failing to file its 2022 financial results as and when due.

Others also sanctioned for delay in filing their 2022 audited accounts include Industrial Medical and Gases Nigeria, which paid a fine of N1.2 million, Juli Plc paid a penalty of N120,000 and NPF Microfinance Bank paid a fine of N1.8 million.

The regulator also sanctioned Daar Communications, paying N1.7 million fine, Champion Breweries and Abbey Mortgage Bank Plc were also fined N1.6 million and N1.4 million respectively.

Regency Alliance Insurance and Thomas Wyatt Nigeria also paid N1.4 million and N4.9 million fines respectively for the same offence.

The NGX hammer also fell on Presco Plc who paid N24.8 million; Ardova, N18.6 million and Universal Insurance Plc, N12.4 million for flouting the filing regulations.

Conoil was also fined N7.9 million for not filing its results within the stipulated period, while Caverton Offshore Support Group paid N5.7 million as a penalty for the same offence.

Telecommunications services firm, Briclinks Africa Plc also cough out N590,000 fine during this period.

The Vice-Chairman of Highcap Securities, David Adonri, said the fines were necessary to maintain the sanctity of the market.

“A lot of them relate to corporate disclosures. The capital market is information-driven. There is certain information that the listed companies must disclose at the appropriate time. If a company realised that it may not be able to disclose such information, the company can send a request to the exchange requesting additional time”, Nigerian Exchange added.

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