A N20m scam aimed at the estate of a late investor in the stock market, late Prof. David Osifo was been terminated by a joint effort of the Nigerian S
A N20m scam aimed at the estate of a late investor in the stock market, late Prof. David Osifo was been terminated by a joint effort of the Nigerian Stock Exchange (NSE) and the Economic and Financial Crimes Commission (EFCC).
A letter by the wife of the deceased Prof. Bola Osifo the NSE praised the two institutions for aiding the family to recoup N20m that was her late husband’s investment.
“On behalf of the Osifo family, we will like to thank the NSE for the dedicated effort in ensuring the stolen shares were reimbursed to my husband’s estate.” she wrote.
Late Professor Osifo had investment of N20, 176,852.19 in the capital market that had been illegally cornered by some scammers.
When the fraud crime was detected, the wife of the deceased alerted the NSE who swung into action and worked alongside the EFCC to recoup the total sum.
On the 4th of October, 2013 an MoU was signed with the EFCC to handle market irregularities and abuse.
This collaboration had successfully opened direct lines of communication and information exchange with the EFCC for reporting and investigating events resulting to a more proactive law enforcement and quick recovery of stolen securities.
To further safeguard investors, the NSE set up the Investors Protectors Fund (IPF) to compensate claimants for financial losses they suffer due to illegal actions of certain dealing member firms of the Exchange.
The setting up of the IPF is based on Section 197 of the Investment and Securities Act of 2007. 158 investors have benefited from the compensation till date.
The CEO of the NSE, Mr. Oscar Onyema, who is a trustee of the IPF said “this milestone gives me great pleasure as it affirms our commitment to the continuous development of initiatives that will bolster confidence in the capital market.”