E-Financial
Companies Risk Hefty Fines, Delisting over Delayed Results
Quoted companies with habitual and long delay in the submission of their periodic interim and annual audited reports and accounts would henceforth pay heavy fines and may be delisted as the Nigerian Stock Exchange (NSE) revises its rules on filing of accounts and treatment of default filings.
According to the Nation newspaper, companies with chronic history of delay in submission of quarterly and annual reports could pay as much as N100 million fine in some instances, it was gathered. Average fines may increase to N20 million; based on recent delayed filings. Fines imposed under the existing rules ranged from N100, 000 to N7.1 million. The highest fine of N7.1 million was imposed on Daar Communications Plc.
The NSE had come under sharp criticisms over its complicity and negligence on long delays in filing of periodic and annual reports, which allowed many companies to hide poor performance and material information.
An oil and gas company reported a cumulative net loss after tax of N240 billion after it delayed its annual report and interim report for first and second quarter until the 11th month of the new financial year.
The company merely received a fine of N6.2 million for the delay of the three results.
Under the new rules currently undergoing review, any late submission of accounts shall attract a fine of N100,000 per day for the first 90 days of non-compliance; N200,000 per day for the next 90 days of non-compliance and N400,000 per day thereafter until the date of submission.
Besides, any issuer or quoted company shall be liable to pay additional fines of a fine of 50 per cent of its annual listing fee; and N25,000 for every day it remains in default for each instance of non-compliance with any directives of the NSE under the new rules.
The new rules, which draft company was obtained by The Nation, shall be applicable to all companies and securities on the main and premium boards of the NSE.
The new rules also highlighted a seeming naming and shaming fine under which defaulted company and the Exchange are required to publish the instances and circumstances of the default in at least two national newspapers and the corporate website.
The Exchange is also empowered to suspend trading on the shares of a defaulting company, issue a caution on trading on the shares of the company and where the NSE decides that the failure has become incurable based on repeated and sustained delay records, it can take steps to delist the shares of the company.
Also, no quoted company or issuer of a security shall declare interim dividends, final dividends or bonuses or take any other related corporate action without first preparing and filing audited accounts, which shall form the basis of such declaration or action.
“Any issuer that violates this provision shall be liable to pay a fine of 5 per cent of the nominal value of the dividends or bonuses, or any other related corporate action, and the applicable fine shall not exceed 100 per cent of the nominal value,” according to the draft rules.
According to the rules, every company shall file its unaudited quarterly accounts not later than 30 days after the relevant quarter, and publish it in at least two national daily newspapers, and post it on the company’s website, with the web address disclosed in the newspaper publications.
A company that chooses, in addition, to audit its quarterly accounts shall file such accounts not later than 60 days after the relevant quarter, and publish it in at least two national daily newspapers and post it on the company’s website, with the web address disclosed in the newspaper publications.
Audited year-end accounts must be filed with the Exchange not later than 90 days after the relevant year-end, and sent to all shareholders or published in at least two national daily newspapers and posted on the company’s website with the web address disclosed in the newspaper publications.
No later than two business days after the deadline for filing accounts has passed, the Exchange shall send a filing deficiency notification to every defaulter and within three calendar days of the date of the filing deficiency notification, the defaulter shall be required to issue a press release, of not less than half a page, in at least two national daily newspapers and posted on the issuer’s website disclosing that the relevant accounts have not been filed by the due date; a detailed explanation of the reasons for the delay; and the anticipated filing date; or its inability to indicate the anticipated filing date, and reasons for the inability to indicate the anticipated filing date.
A defaulting company is also expected to apply for an extension of time for filing the relevant quarterly or year-end accounts, but this shall not be longer than eight weeks from the due date for the relevant accounts.
In the event that a company is subject to oversight by a specific primary government regulator, like the Central Bank of Nigeria (CBN) for banks, the Exchange may grant an additional period not exceeding 12 weeks from the due date for the relevant accounts. The company must however produce evidence of filing the relevant accounts with such primary government regulator not later than four weeks before the due date of filing with the Exchange.
General Counsel and head of regulation, NSE, Ms Tinuade Awe, said the National Council of the Exchange, its highest body, decided on the draft new rules because it discovered that the disclosure requirements as well as the sanctions provided in the initial rules were not stringent enough to deter violations of the Exchange’s listings requirements with regard to financial disclosure.
She pointed out that the National Council was of the view that in order to ensure greater compliance, additional measures apart from higher financial penalties should be introduced into the provisions relating to financial disclosures.
She said the new rules would promote adequate investor protection, prompt and sufficient information sharing, accountability, and transparency within the market.
“These measures are intended to instill greater diligence, prompt, detailed and more responsible disclosure with regard to financial reporting; whilst simultaneously achieving greater deterrence to issuers against repeated late filing of their financial statements,” Awe said.
Nigeria Deposit Insurance Corporation (NDIC) has begun paying insured deposits to customers of the 46 recently failed microfinance banks.
Mr Thompson Sunday, managing director and chief executive, NDIC, disclosed this in an interview with the News Agency of Nigeria (NAN) in Abuja.
The interview took place on the sidelines of the International Association of Deposit Insurers Africa Regional Committee meeting.
Sunday said the corporation was using the Nigeria Inter-Bank Settlement System (NIBBS) and customers’ Bank Verification Numbers (BVN) for the payments.
He said the NDIC had traced depositors’ alternative bank accounts and credited them directly without requiring physical visits.
He advised depositors without BVNs to visit the nearest NDIC zonal office for verification and payment processing
“The CBN revoked the licences of the 46 microfinance banks on July 1, 2026,” he said.
He said the NDIC automatically became the provisional liquidator after the revocation, in line with the law.
Sunday said the corporation had commenced payment of the insured maximum deposit of N2 million to eligible customers.
He explained that further payments would depend on the recovery of the failed banks’ assets and outstanding debts.
He said proceeds realised from recoveries would be distributed as liquidation dividends to eligible depositors.
Sunday cited Heritage Bank, Aso Savings and Union Homes as examples of the NDIC’s prompt reimbursement efforts.
He said insured depositors of Heritage Bank were paid within four days of the revocation of its licence.
He added that customers of Aso Savings and Union Homes received payments within 72 hours.
“The law allows us 30 days, but we are working to surpass our previous records,” he said.
The Central Bank of Nigeria (CBN) revoked the banks’ licences for failing to meet regulatory requirements for continued operations.
The apex bank said the action was aimed at protecting depositors, strengthening financial stability and ensuring regulatory compliance.
Mr Taiwo Oyedele, minister of Finance and Coordinating Minister of the Economy, has warned that fear, rumours and misinformation could trigger instability in the banking sector if not properly managed.
Mr Taiwo Oyedele, minister of Finance and Coordinating Minister of the Economy
Oyedele gave the warning in Abuja at the 2026 International Association of Deposit Insurers (IADI) Africa Regional Committee (ARC) Annual Meeting and Workshop, with the theme: “Safeguarding Stability: Public Awareness and Crisis Readiness for a Stronger Future.”
The minister said public confidence remained the foundation of every stable financial system, stressing that panic triggered by false information could create liquidity challenges even for financially sound institutions.
According to him, “there can be no economic growth without financial system stability, and there can be no financial stability without public trust.”
He explained that in the digital age, misinformation could spread rapidly across social media platforms, causing depositors to react out of fear.
“Public trust is fragile. In the digital age, rumours and misinformation can spread across social platforms in seconds, creating liquidity shocks even for solvent institutions,” Oyedele said.
He stressed that building public awareness should not be viewed as a public relations activity, but as a key risk management strategy capable of protecting depositors and strengthening the financial system.
Oyedele noted that deposit insurance had evolved beyond a mechanism for handling bank failures, describing it as a strategic tool for promoting confidence and economic stability.
He said effective crisis preparedness required clear frameworks, communication channels, simulation exercises and coordination among financial sector regulators before emergencies occur.
“Preparedness is not an event, it is a culture,” he said, adding that the strongest crisis response was one that prevented panic from occurring in the first place.
Highlighting Nigeria’s financial sector reforms, the minister said the country’s banking recapitalisation exercise, concluded in March 2026, strengthened the resilience of banks.
He disclosed that 33 out of Nigeria’s 37 banks met the new capital requirements, raising a combined N4.65 trillion in fresh capital, with over 70 per cent sourced from domestic investors.
Oyedele said a better-capitalised banking system would be better positioned to absorb shocks, sustain lending and reduce pressure on the deposit insurance fund.
He also pointed to Nigeria’s removal from the Financial Action Task Force (FATF) grey list in October 2025 as another milestone that strengthened confidence in the country’s financial system.
Also speaking, Mr Olayemi Cardoso, governor, Central Bank of Nigeria (CBN), said public awareness and crisis preparedness were central to maintaining financial stability.
Represented by Solaja Olayemi, director, Other Financial Institutions Supervision Department represented, Cardoso said financial systems globally were undergoing rapid transformation due to technological innovation, digital finance, changing consumer behaviour and increasing market interconnectedness.
According to him, while these developments create opportunities, they also introduce new risks that require stronger cooperation among financial safety-net institutions.
The CBN boss warned that misinformation could spread quickly through digital channels, amplifying depositor reactions and creating potential threats to financial stability.
He added that institutions must continuously strengthen crisis management frameworks, operational resilience and coordination mechanisms to respond effectively to emerging challenges.
The apex bank governor also highlighted the impact of Nigeria’s banking sector recapitalisation policy, saying stronger capital buffers would reduce the likelihood of bank failures and reinforce depositor confidence.
“No single institution can safeguard financial stability in isolation. It is through the coherence and complementarity of this institutional relationship that Nigeria’s financial safety net derives its strength,” he noted.
Earlier, Mr Thompson Sunday, managing director/chief executive officer, Nigeria Deposit Insurance Corporation (NDIC), said confidence remained the most valuable asset in any financial system.
The NDIC boss said trust could take years to build but could be lost quickly if stakeholders perceived uncertainty or instability. He said deposit insurers must ensure that the public understands and trusts existing protection frameworks during both normal periods and times of crisis.
He noted that the 2023 global banking turmoil highlighted the need for institutions to invest in crisis simulation exercises, contingency planning and effective communication strategies.
According to him, the NDIC has continued to strengthen its operational readiness through improved depositor reimbursement systems, public awareness initiatives and enhanced crisis management capabilities.
European Union (EU) has warned the public against a fraudulent document circulating online which falsely claims that the bloc, in collaboration with the World Bank, is offering compensation to individuals whose funds are allegedly trapped in banks and financial institutions across West Africa.
In a statement issued on Wednesday in Abuja, the EU Delegation to Nigeria and ECOWAS described the purported compensation programme as a scam, stressing that neither the European Union nor the World Bank is involved in any such initiative.
The fake document, fraudulently attributed to Thérèse Blanchet, secretary-general of the Council of the European Union, claimed that a special EU-World Bank recovery programme has been established to compensate citizens of Europe and other countries whose legally transferred funds were allegedly withheld by banks in the region.
It also falsely stated that the EU Ambassador to Nigeria and ECOWAS has been mandated to supervise the compensation exercise and directs potential claimants to contact him for processing.
However, the EU categorically dismissed the claims, describing every aspect of the document as fabricated.
“The document in its entirety is a scam. The information and claims contained therein are false. The European Union is neither aware of any such bogus programme nor part of it,” the Delegation stated.
The EU further disclosed that the email addresses and telephone numbers listed in the fraudulent document, purportedly belonging to Ms. Blanchet and Ambassador Gautier Mignot, EU Ambassador to Nigeria and ECOWAS, , are fake and are being used by fraudsters to deceive unsuspecting victims.
The Delegation urged members of the public to ignore the fraudulent claims and avoid engaging with anyone promoting the scheme.
It emphasized that all official announcements from the European Union Delegation to Nigeria and ECOWAS are published exclusively through its official website and verified social media platforms.
The warning comes amid increasing cases of cyber-enabled financial fraud in which criminal syndicates impersonate international organisations, government institutions and senior officials to lure victims into paying fictitious processing fees or divulging sensitive personal and financial information.
The EU reiterated its commitment to combating fraud and misinformation while urging citizens to remain vigilant against scams exploiting the names and identities of reputable international institutions.
NDIC Begins Payment to Depositors of 46 Failed Microfinance Banks
Telcos Seek Clear Regulatory Framework on Airtime Credit Services
FG Says Rumours, Fear, Can Crash Banks
MTN Warns Customers against Fake Promo
EU Debunks Fake Compensation Scheme Targeting West African Bank Customers
NRC, Ponzi Scheme Collapses Resulting Loss of Billions of Naira
NASENI Moves to Digitize CCB’s 5m Assets Declaration and Operations
Lebara Nigeria Launches Lebara Play, Africa’s First Telecom-Owned Micro-Drama Platform
Tokenization, Blockchain Technology will Transform Financial Institutions – IMF
EFCC Busts NIS Visa Overstay Racket, Uncovers N700m in an Account
News3 days agoYEDC Warns Customers, Says 20 Percent Electricity Bonus is Scam
News3 days agoPFIPC Probe: Dollar, Pounds Accounts of Fake Agency Inactive – CBN
Broadcasting3 days agoNBC, INEC, Plan Joint Broadcast Monitoring Framework ahead of 2027 Elections
News3 days agoSTEM Africa Fest to Nurture Nigeria’s Future Innovators
E-Business3 days agoJumia Nigeria Expands Flexible Payment Options with Klump Partnership
E-Financial3 days agoNo Going Back on July 31 Deadline for Insurance Firms’ Recapitalisation – NAICOM
E-Business3 days agoLagos Unveils N10m Single-digit Loan Scheme for MSMEs
E-Financial3 days agoCourt Affirms FCCPC’s Power to Regulate Digital Lending