NSE fines Access Bank, two others N8.12m for disclosure violations

The Nigerian Stock Exchange has fined Access Bank Plc, Diamond Bank Plc and First Aluminium Plc a total of N8.12m for disclosure violations.

The NSE, in its latest X-Compliance report, said the Access Bank and Diamond Bank were fined for failing to disclose the resolutions passed at the meeting of their board of directors.

Access Bank was fined N4.41m, while Diamond Bank Plc was fined 3.23m, according to the report, which brings the total amount to be paid by the resulting bank from the merger to N7.64m.

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First Aluminium was fined N476,280 for non-dispatch of the notice of its Annual General Meeting and annual reports to shareholders 21 days before the date of the meeting.

The NSE said every listed company was required to provide the Exchange with timely information to enable it efficiently perform its function of maintaining an orderly market.

It stated that in accordance with the provisions of Appendix III: General undertaking (equities), the rulebook of the Exchange, 2015 (issuers’ rules) and the Exchange’s circular no. NSE/LARD/LRD/CIR3/17/05/12 on publication of announcements or press releases via the issuers’ portal, listed companies were required to obtain prior written approval from the Exchange before publications that affect shareholders’ interest were made in the media or via the issuers’ portal.

The NSE said in addition, companies were also required to disclose material information to the Exchange and publish the information in their annual reports.

The report read in part, “Access Bank, Diamond Bank and First Aluminium breached certain provisions of the listings rules and were sanctioned accordingly.”

So far in the year, Only Access Bank, Diamond Bank and First Aluminium have committed disclosure violations and have been fined accordingly.