The Nigerian Exchange (NGX) has listed penalties totalling N123.17 million towards 15 companies for late submission of audited and interim monetary statements, renewing considerations over repeated disclosure breaches amongst listed companies.
The penalties had been contained within the newest NGX RegCo X-Compliance Report, whereas three capital market operators interviewed by Nairametrics questioned whether or not monetary sanctions alone had been adequate to discourage recurring defaults.
The record consists of companies beforehand featured in Nairametrics’ stories on late monetary filings, prompting calls for stronger regulatory intervention, board-level accountability, and, in some instances, delisting.
NGX submitting default penalties hit N123.17 million
The newest NGX compliance record incorporates 22 penalty entries masking audited monetary statements and interim monetary stories.
Of the N123.17 million whole, N87.30 million pertains to audited accounts, whereas N35.87 million covers interim statements.
- International Energy Insurance recorded the biggest penalty at N28.20 million, adopted by Caverton Offshore Support Group and Legend Internet.
- Caverton amassed N19.20 million in penalties throughout each reporting classes, whereas Legend Internet was fined N16.80 million.
- The three companies accounted for roughly 52.12% of the overall penalties.
- Caverton, NCR (Nigeria), Cornerstone Insurance, Jaiz Bank, Sterling Financial Holdings and Regency Alliance Insurance appeared in each classes, with mixed fines of N56.10 million.
- Other companies listed embody Oando at N10.40 million, Fidelity Bank at N4.20 million, Ecobank Transnational at N1.30 million, International Breweries at N1 million and PZ Cussons at N600,000.
The repeated look of some companies raises questions concerning the effectiveness of economic penalties in securing well timed disclosures.
However, the record alone doesn’t set up that any firm intentionally withheld its monetary statements or handled the penalties as a routine enterprise expense.
Experts demand tougher NGX sanctions:
Dr. David Walter Ogogo, Pioneer Registrar of ICMR, mentioned repeated submitting breaches ought to entice consideration past the Exchange. He beneficial referring persistent defaulters to the (*15*) and Exchange Commission (SEC) for consideration of extra measures.
Ogogo additionally instructed that affected companies seem earlier than the SEC’s Administrative Proceedings Committee to strengthen board-level accountability.
- “Sanctions may not be enough. A company may pay a penalty and continue doing what it was doing before.”
- “The NGX can report such companies to the SEC, which can consider additional measures.”
Charles Fakrogha of ECL Asset Management Limited advocated direct engagement with firm boards and administration, with delisting thought of the place persistent non-compliance continues.
- “When companies deliberately default and repeatedly pay penalties, the exchange needs to consider other measures. There is no point remaining on a platform when you are not meeting its requirements.”
Aruna Kebira, Chief Executive Officer of Globalview (*15*) Limited, emphasised that disclosure is a elementary obligation of listed companies.
- “When you come to the NGX, you must be prepared to dance naked for everyone to see. You must be willing to disclose your company’s performance transparently.”
Kebira cautioned that the NGX should function inside its authorized authority and that delisting might make it tougher for current shareholders to promote their investments.
The consultants subsequently differed on the suitable enforcement measures however agreed that repeated breaches increase considerations about company governance and investor confidence.
Filing delays present combined progress:
A comparability of submitting delays for the 2024 and 2025 audited accounts reveals that compliance has improved for some companies however deteriorated for others. The evaluation makes use of the NGX’s March 31 deadlines for the respective reporting years.
- Jaiz Bank, Prestige Assurance and Regency Alliance Insurance diminished their delays, whereas Oando and Cornerstone Insurance took longer to submit their accounts.
- Jaiz Bank’s delay declined from roughly 93 days to 45 days, whereas Prestige Assurance improved from about 140 days to 45 days.
- Regency Alliance diminished its delay from roughly 155 days to 116 days.
- Oando’s delay elevated from about 65 days to 97 days, whereas Cornerstone Insurance’s rose from about 66 days to 78 days.
- Nairametrics beforehand reported NGX penalties of N76.8 million towards 9 companies in 2024 and N325.47 million throughout 59 breaches masking 2025 and 2026.
- Oando’s N10.40 million penalty represents lower than one-hundredth of 1% of its reported N135.76 billion pre-tax revenue for 2025.
However, the comparability covers companies that defaulted and can’t set up what number of different listed companies had been deterred by current sanctions.
Previous stories additionally recorded penalties of N540.37 million towards 34 companies and N378 million towards 13 insurers through the 2024/2025 cycle. The newest figures reinforce the controversy over whether or not repeated monetary penalties are adequate or whether or not stronger board accountability and regulatory intervention are wanted to enhance compliance.
