The Nigerian Stock Exchange (NSE) imposed a fine of N75.6 million on Ekocorp Plc (EKOCORP) for filing its audited 2014 and audited 2015 reports after the regulatory due date. This is the biggest sanction imposed on quoted firms that failed to file their financial statements as and when due.
NSE, in its latest X-Compliance Report last updated on November 9, 2018, indicted only EKOCORP for late filing of audited 2014 reports it listed the firm as one of six issuers comprising GNI, Guinea Insurance Plc (GUINEAINS), DAAR Communications Plc (DAARCOMM), African Alliance Insurance Plc (AFRINSURE) and Thomas Wyatt Plc (THOMASWY) that filed their audited 2015 reports after the regulatory due date.
The sanction placed on EKOCORP accounts for 8.94 percent of the total of N845.9 million placed on all quoted companies that breached NSE filing regulations.
TOURIST, DUNLOP, 3 other Undergoing Delisting Process
The Quotation Committee of the NSE (QCN) approved that DN Tyre & Rubber Plc (DUNLOP), Evans Medical Plc (EVANSMED) and Deap Capital Management Plc (DEAPCAP) to be placed on delisting watch-list subject to filing of their quarterly compliance report.
NSE indicated that it suspended the three firms currently undergoing Delisting Process (DIP) for their failure to file the relevant accounts by the expiration of the cure period.
The three companies failed to disclose their interim financials for the three months ended September 2018, even as DEAPCAP and EVANSMED also failed to file their financial statements for the second quarter of 2018.
The committee also approved that the Tourist Company of Nigeria Plc (TOURIST) to be placed on regulatory watch-list, while Great Nigeria Insurance Plc (GNI) obtained an approval from its shareholders to delist the stock from NSE voluntarily.
GNI and EVANSMED were both suspended on July 5, 2017, while trading in the shares of DUNLOP and DEAPCAP was placed on hold on October 8, 2018 and November 1, 2018 respectively
INFINTY Dominates Early Filers
Infinity Trust Mortgage Bank Plc (INFINITY), under Mortgages Carriers, Brokers and Services in the financial services sector, is currently dominating NSE list of early filers.
Early filers are companies that file their interim financial statements at least two weeks before the due date, and audited financial statements at least four weeks before the due date.
INFINITY filed its interim financial statements for first quarter (Q1) 2018 on April 3, 2018; second quarter (Q2) 2018 on July 2, 2018; third quarter (Q3) 2018 on October 1, 2018. Its interim financial statements for Q1 and Q2 2017 were filed 27 days before the due date, while the company filed its Q3 interim financial statements on October 3, 2017, leaving 28 days before the due date.
With three (3) appearances out of five (5) and three (3) out of ten (10) in early filers for 2018 and 2017 interim financial statements respectively, INFINITY did not only imbibe high corporate governance practices by disclosing its quarterly financial performance on a timely basis but also dominated early filers of quarterly accounts with its consistency.
MULTITREX, ASOSAVINGS Retain Delinquent Filer Position for Four Financial Years
As some issuers were identified by NSE as companies that have met the minimum listing standards in terms of timely disclosure of their annual audited and quarterly financial performance, Multi-trex Integrated Foods Plc (MULTITREX) and Aso Savings and Loans Plc (ASOSAVINGS) were consistently found delinquent in filing in its audited accounts for four financial years.
MULTITREX, a company dealing in food products under the consumer goods sector, made NSE delinquent filers’ list over non-compliance with financial disclosure of audited accounts for 2015, 2016, 2017 and 2018 financial years, while ASOSAVINGS, operating under mortgages carriers, brokers and services under the financial services sector retained its delinquent filer position from 2014 to 2017 financial year.