The Securities and Exchange Commission, SEC, on Monday announced its decision to suspend its initial directive that Oando Plc should hold its Annual General Meeting slated for Tuesday.
The apex capital market regulator in a press release indicated its desire to suspend punitive measures imposed on the oil firm to ensure compliance with its regulations while it awaits the court’s pronouncement.
“The Securities and Exchange Commission hereby notifies the public that further to the ex-parte order of the Federal High Court, Ikoyi Lagos in Suit No: FHC/L/CS/910/19 in Jubril Adewale Tinubu & Anor V Securities & Exchange Commission & Anor, the Annual General Meeting of Oando Plc (a company listed on the Nigerian and Johannesburg Stock Exchanges) scheduled to hold on Tuesday, June 11, 2019 at 10:00 a.m. has been suspended till further notice.
“Accordingly, the commission has directed the suspension of the Annual General Meeting of Oando Plc to allow the parties to maintain the status quo,” the statement reads.
The commission stated it would update relevant stakeholders and the public on the outcome of the ongoing litigation.
The ICIR had earlier reported that SEC ordered Oando’s Group Chief Executive Officer, Wale Tinubu, and other affected board members to resign. The company in a rebuttal said the alleged infractions and penalties were unsubstantiated, invalid and calculated to prejudice the business of the company.
The oil firm said it had not been given the opportunity to see, review and respond to the forensic audit report and so was unable to ascertain what findings (if any) were made in relation to the alleged infractions and defend itself accordingly before SEC.
SEC announced on June 2 that it had set up an interim management team to oversee the affairs of the company and conduct an extraordinary general meeting on or before July 1, 2019, to appoint new directors who would subsequently select a management team for the company.
However, the Federal High Court sitting in Lagos granted an interim injunction on June 3 following an application by Oando’s Group CEO and his deputy, restraining SEC from executing the sanctions.