In a decisive regulatory clampdown, the Securities and Exchange Commission (SEC) has revoked the registration of Mainland Trust Limited and imposed an immediate suspension on Centurion Registrars Limited, citing repeated non-compliance with regulatory directives.
SEC, in separate circulars, reaffirmed its commitment to enforcing market discipline, stating that both firms had failed to resolve multiple complaints lodged against them.
Announcing the deregistration of Mainland Trust Limited, the SEC declared: “The registration of Mainland Trust Limited as a capital market operator has been cancelled with immediate effect.”
This action, executed under Section 38(4) of the Investments and Securities Act, 2007, and Rule 34(1)(e) of the SEC Consolidated Rules and Regulations 2013, effectively bars the company from any capital market activities.
Investors associated with Mainland Trust Limited have been advised to liaise with the Central Securities Clearing System (CSCS) for guidance on transferring their stocks to alternative brokerage firms.
Additionally, key market institutions, including the Nigerian Exchange Group (NGX), the Institute of Capital Market Registrars (ICMR), the Chartered Institute of Stockbrokers (CIS), and all capital market trade associations, have been directed to cease any dealings with the company.
In a parallel enforcement action, the SEC has suspended Centurion Registrars Limited, along with its directors and sponsored individuals, from participating in capital market activities. This move follows a similar pattern of infractions and regulatory breaches.
Affected clients have been urged to transfer their portfolios to Africa Prudential Plc or another approved registrar of their choice.
The SEC also directed all major market stakeholders to sever ties with Centurion Registrars and its executives.
Reaffirming its hardline stance on market violations, the SEC announced the launch of a “name and shame” initiative, which will see erring capital market operators publicly identified.
This measure, the Commission stated, is intended to reinforce investor confidence and uphold market integrity.
“This enforcement strategy underscores the Commission’s dedication to safeguarding the stability of the Nigerian capital market, protecting investors, and ensuring strict adherence to regulations.”
The latest crackdown signals a renewed drive by the SEC to purge the market of non-compliant operators, reinforcing its resolve to maintain a transparent and investor-friendly financial ecosystem.
