jeff juwana
Moderator
According to reports from the Securities and Exchange Commission (SEC), Pan-African lender, Ecobank is being investigated by Nigeria's securities regulator over an alleged misstatement of its 2012 performance.
Officials of the Nigeria’s SEC held a meeting with Ecobank’s board directors on Aug. 6 to discuss the issue, however, details as to what the bank was accused of misstating was not made known.
The source said the regulator had sent queries about Ecobank's 2012 performance to all the directors, in line with the International Finance Corporation corporate governance code.
The Pan-African bank with operations in 32 African countries, stated in march that its pretax profit for the year 2012 rose to its highest ever level of $348 million, up a quarter on the same period a year ago.
"The core element (of the allegation) ... is on material misstatement of facts on (Ecobank) performance," the SEC source said. This may also affect whether or not a bonus awarded to chief executive officer Thierry Tanoh for that year was proper.
"All the executive directors have been issued a specified questionnaire on matters emanating from the petition and responses are awaited," he said.
According to the source, the initial complaint to the SEC came from Laurence do Rego, the bank's suspended head of finance.
"I can confirm that our Board of Directors met with the SEC in early August and that we are .... in continuing dialogue with them. We are happy to offer them our ongoing cooperation," said Jeremy Reynolds, Ecobank spokesman.
He further stated that Laurence do Rego, the suspended head of finance, who joined the bank eleven years ago, was suspended for falsely claiming to be an accountant. . Do Rego had not responded to the bank's invitation to meet the board of directors and substantiate her claims.
Ecobank has been in the spotlight over debts owed by businesses associated with its chairman Kolapo Lawson, but the SEC source said the regulator was now satisfied there was nothing untoward about them.
Last month, the bank said that Lawson had repaid the loans and no company rules were broken.
"We've looked at the status of the debt owed by the chairman and we don't think there is any issue there," the source said.
The source also said that another allegation raised - that Ecobank has sold assets at below market value without the SEC's permission - had been dismissed as untrue.
Officials of the Nigeria’s SEC held a meeting with Ecobank’s board directors on Aug. 6 to discuss the issue, however, details as to what the bank was accused of misstating was not made known.
The source said the regulator had sent queries about Ecobank's 2012 performance to all the directors, in line with the International Finance Corporation corporate governance code.
The Pan-African bank with operations in 32 African countries, stated in march that its pretax profit for the year 2012 rose to its highest ever level of $348 million, up a quarter on the same period a year ago.
"The core element (of the allegation) ... is on material misstatement of facts on (Ecobank) performance," the SEC source said. This may also affect whether or not a bonus awarded to chief executive officer Thierry Tanoh for that year was proper.
"All the executive directors have been issued a specified questionnaire on matters emanating from the petition and responses are awaited," he said.
According to the source, the initial complaint to the SEC came from Laurence do Rego, the bank's suspended head of finance.
"I can confirm that our Board of Directors met with the SEC in early August and that we are .... in continuing dialogue with them. We are happy to offer them our ongoing cooperation," said Jeremy Reynolds, Ecobank spokesman.
He further stated that Laurence do Rego, the suspended head of finance, who joined the bank eleven years ago, was suspended for falsely claiming to be an accountant. . Do Rego had not responded to the bank's invitation to meet the board of directors and substantiate her claims.
Ecobank has been in the spotlight over debts owed by businesses associated with its chairman Kolapo Lawson, but the SEC source said the regulator was now satisfied there was nothing untoward about them.
Last month, the bank said that Lawson had repaid the loans and no company rules were broken.
"We've looked at the status of the debt owed by the chairman and we don't think there is any issue there," the source said.
The source also said that another allegation raised - that Ecobank has sold assets at below market value without the SEC's permission - had been dismissed as untrue.