SEC Docked Brentonwoods MD for N58m Capital Fraud
The Managing Director of Brentonwoods Limited, Mr. Samuel Adebanjo and his company have been charged before Honourable Justice M.s. Hassan of the Federal High Court 12, Ikoyi Lagos on a two count charge of fraud relating to illegal sale of shares of a client.
When the case came up for hearing, Adebanjo pleaded not guilty to the charge and the court adjourned the matter to March 19,2019 while the defendant is to be remanded in prison custody till the next adjourned date.
According to the charges, Brentonwoods Limited and Samuel Adebanjo are alleged to have conspired within themselves to commit a felony to wit: defraud by selling and convert to their own personal use the proceeds of 537,872 Units of Nigeria Breweries Plc shares and 21,260 Units of Guinness Nigeria Plc shares all valued at N58,461,391.49 belonging to the family of Akin Olugbade.
And therefore committed an offence contrary to Section 516 of the Criminal Code Act, laws of the Federation of Nigeria 2004 and punishable under the same Section. The offence is alleged to have been committed between 2004 and 2014 in Lagos.
Recall that the Acting Director General of the Securities and Exchange Commission, SEC, Ms Mary Uduk had severally assured investors that the Commission will not hesitate to invoke the full weight of the law on any capital market operator that is involved in fraudulent activities.
Uduk therefore urged investors to take advantage of the various initiatives put in place by the Commission to ensure that proceeds from sale of shares goes directly into the investors accounts to avoid mismanagement by Operators.
According to her, “We are doing a lot to boost investors confidence and ensure their funds are not mismanaged. We have a number of initiatives that we have put in place to boost investors’ confidence. “We have the electronic Dividend Mandate System(EDMS), the Direct Cash Settlement
(DCS)as well as multiple subscription in place. “We also protect them through the National Investors Protection Fund (NIPF), risk
based supervision that enables us to supervise the operators
to ensure that they do not do what they are not supposed to
do. And again the Complaints Management Framework (CMF)
enables investors to know where to complain to and how long
it takes for such complaints to be resolved. Uduk however urged investors to ensure they only patronise Fund Managers that are registered with the SEC as this is one of the steps in
safeguarding their investments.
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