An investigation from a local media has indicated that a total of eight banks and 18 other listed companies have incurred fines totaling N125 million for failing to meet the requirement set by the Nigerian Exchange (NGX) to file their 2022 audited financial statements and quarterly reports for the first half of 2023.
Among the penalized banks are Unity Bank, FBN Holdings, Access Holdings, Fidelity Bank, Jaiz Bank, Wema Bank, Guaranty Trust Holdings Plc, and Ecobank Transnational Incorporated.
Notable among the companies facing penalties are John Holt, PZ Cussons, Notore Chemical, Glaxo SmithKline Consumer Nigeria, Industrial Medical and Gases Nigeria, and Juli Plc.
The NGX’s post-listing rules dictate that quoted companies must submit their audited results within 90 calendar days (or three months) following the end of the period. Additionally, interim reports should be submitted within 30 calendar days after the relevant period concludes.
According to the latest X-Compliance Report released by the regulatory arm of the NGX, FBN Holdings faced fines for the delayed submission of its 2022 financial results and its Q1 2023 report. The bank was charged N6.3 million for the former and N3.3 million for the latter.
Unity Bank was fined N6.4 million for failing to submit its 2022 results on time and an additional N3.4 million for the delay in submitting its Q1 2023 interim reports.
Other banks like Fidelity Bank, GTCO, Wema Bank, Access Holdings, Jaiz Bank, Ecobank, and John Holt faced penalties ranging from N600,000 to N3.2 million.
Several other companies, including PZ Cussons, Notore Chemical, GSK, Industrial Medical and Gases Nigeria, Juli Plc, and NPF Microfinance Bank, also faced fines ranging from N120,000 to N4.8 million for failure to meet the filing deadlines.
Regency Alliance Insurance, Thomas Wyatt Nigeria, Presco Plc, Ardova, Universal Insurance Plc, Conoil, Caverton Offshore Support Group, and Briclinks Africa Plc were among the other companies fined for violating filing regulations.
David Adonri, Vice-chairman of Highcap Securities, noted that the fines are necessary to uphold the integrity 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.”