SEC raises alarm over suspended investment firm

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The Securities and Exchange Commission (SEC) has advised investors to shun a proposed restructuring plan by Partnership Investment Company and its subsidiaries.

In a release, SEC noted that its attention had been drawn to an electronic message being circulated to investors on behalf of Partnership Investment Company Plc and its subsidiaries, purporting to be undergoing restructuring.

The electronic message which indicates a proposal to investors who lost monies to Partnership Investment Company Plc and its subsidiaries, especially Partnership Securities Limited to sign up to participate in a repayment plan with two options.

The two options included in the three years’ repayment plan are:

  • Taking a cash payment or accepting equity in a company to be registered and listed on the Nigerian Stock Exchange (NSE)
  • The second option involves investors accepting payment of only 50 percent of their investment payable within 12 months.

SEC noted that following the hearing of the complaints against the Partnership Investment Company and its subsidiaries in June 2017, the Administrative Proceedings Committee (APC) of the Commission had cancelled the registration of the Partnership Investment Limited and Partnership Securities Limited and banned the principal officers and executives of the companies from participating in the capital market.

“Please be further informed that the conduct of the Partnership Investment Company and its subsidiaries on restructuring is very suspicious and appears to be an attempt to scuttle the directives of the APC.”

SEC further directed Partnership Investment Company Plc and its subsidiaries to submit their repayment plan officially to the Commission for the protection of affected investors.

Recall that in 2017, Partnership Investment Company and its subsidiaries were embroiled in alleged N10 billion scandal, relating to diversion and misappropriation of investors funds.

After a long-drawn investigation of the allegations by SEC, banned the Managing Director of PIC, Mr. Victor Ogiemwonyi, for life from holding directorship positions in any public company in Nigeria.

Aside from the ban on Ogiemwonyi, SEC has also withdrawn the operating license of the companies. Chairman of the company, Mr. Henry Omoragbon, was also suspended for a period of five years from engaging in activities in the Nigerian Capital Market.

Some Directors of the company, Mr. Ojetunde Taiwo, Mrs. Ogiemwonyi Olufunke, Mr. Ogiamien Frank, Mr. Adeusi Aladejola Alexander,  Mrs. Arese Ugwu, were also suspended for a period of five years from engaging in capital market activities in the Nigerian Capital Market; and also banned from holding directorship positions in any public company in Nigeria.

 

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