Lagos - The Securities and Exchange Commission (SEC) has closed down offices of New Nation Finance House in seven states of the federation.
New Nation Finance House is one of the leading fund management companies in Nigeria.
The closure affected the company’s offices in Lagos, Akure, Bauchi, Birnin Kebbi, Calabar, Kano and Makurdi.
Pamela Obioru, SEC’s Assistant Director and leader of SEC’s enforcement team, said in Lagos on Wednesday that New Nation Finance House was an illegally entity.
She said 14 of the company’s officials had also been arrested by the police.
She noted that the action was part of SEC’s statutory responsibilities of regulating the capital market and protecting investors.
Obioru said that the enforcement exercise was necessary to protect innocent investors from falling into wrong investment schemes.
“It is one of the routine exercises of the commission to clamp down on illegal investment operators in the country,” she stated.
Obioru said that Section 153 of the Investment and Securities Act (ISA) prescribed those operators of such firms must obtain licence and file returns to the commission.
Equipment and documents were seized at the company’s branches in the seven states while the branch managers and workers were handed over to the police.