The Securities and Exchange Commission SEC has ordered the Group Chief Executive Officer of Oando plc, Wale Tinubu, and other board members to resign following an investigation into the company in which they were found culpable of wrong doing.
A statement released by the financial parastatal today Friday May 31st, barred Tinubu and the Deputy Group Chief Executive Officer of the company, Omamofe Boyo, from being directors of public companies for a period of five years.
According to the statement, the Commission in 2017 had received two petitions and upon investigation, found out that the Wale Tinubu-led board of the company were indicted for false disclosures, market abuses, misstatements in financial statements, internal control failures, and corporate governance lapses stemming from poor Board oversight, irregular approval of directors’ remuneration amongst others.
The statement in part reads
“Following the receipt of two petitions by the Commission in 2017, investigations were conducted into the activities of Oando Plc (a company listed on the Nigerian and Johannesburg Stock Exchanges).
“Certain infractions of securities and other relevant laws were observed. The Commission further engaged Deloitte & Touche to conduct a forensic audit of the activities of Oando Plc.
“The general public is hereby notified of the conclusion of the investigations of Oando Plc.
“The findings from the report revealed serious infractions such as false disclosures, market abuses, misstatements in financial statements, internal control failures, and corporate governance lapses stemming from poor Board oversight, irregular approval of directors’ remuneration, unjustified disbursements to directors and management of the company, related party transactions not conducted at arm’s length, among others.”
The Commission also directed the payment of monetary penalties by the company and affected individuals and directors, and refund of improperly disbursed remuneration by the affected Board members to the company. It said as required under Section 304 of the Investments and Securities Act (ISA) 2007, it would refer all issues with possible criminality to the appropriate criminal prosecuting authorities.
SEC also ordered an Extraordinary General Meeting to be convened on or before July 1, 2019 to appoint new directors.