SEC to ‘name and shame’ erring capital market operators

The Securities and Exchange Commission (SEC) has announced plans to name and shame capital market operators (CMOs) violating market regulations.

In a notice on Sunday via its official X page, SEC said it would begin publishing the names of defaulting CMOs in a “name and shame” journal.

The commission described the initiative as part of its broader strategy to uphold market integrity and boost investor confidence.

“Stakeholders and the general public are hereby informed that henceforth, the names of Capital Market Operators (CMOs) found to have violated market laws/regulations would be published in the Commission’s ‘name and shame’ journal,” the notice read.

SEC added that the publication of offenders’ names would be in addition to the penalties prescribed in the Investments and Securities Act (ISA) 2007 and SEC Rules and Regulations.

The commission said the move aligns with its commitment to a zero-tolerance stance on market infractions, ensuring strict compliance with regulatory guidelines.

“This enforcement strategy underscores the Commission’s dedication to safeguarding the integrity and stability of the Nigerian capital market, protecting investors, and ensuring strict adherence to established rules and regulations,” SEC said.

Market operators and stakeholders were advised to comply with regulations to avoid facing sanctions.

The initiative comes as SEC continues its clampdown on non-compliant entities in the capital market.

In a statement dated March 14, 2025, SEC announced the suspension of Centurion Registrars Limited, its sponsored individuals and directors from all capital market activities with immediate effect over “unresolved complaints”.

Also, SEC cancelled Mainland Trust Limited’s capital market registration over “regulatory violations”.