SEC closes 3 investment firms over illegal capital market activities
The Securities and Exchange Commission (SEC) has sealed the premises of three firms, Oxford International Group/Oxford Commercial Services, Farmforte Agro Allied Solutions Limited/Agro Partnerships and Vektr Capital Investment/Vektr Enterprise for illegally engaging in capital market activities.
According to a statement issued on Monday, the offices of the companies in Lagos, Port Harcourt and Abuja were shut down for carrying out investment operations that fall within ambit of fund management without registration with the apex regulator, contrary to the provisions of the Investments and Securities Act 2007.
The statement read in part, “These companies do not have registration of SEC to conduct fund management activities and have been found to promise exorbitant rates of returns to lure investors. SEC has exercised its powers under Section 13 (w) Investments and Securities Act 2007, to shut them down.
“The Commission hereby notifies the investing public that none of these entities or their investment platforms are registered by the SEC.”
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According to SEC, it is unlawful for any private enterprise, whether incorporated as a company or not, to solicit funds from the public by whatever means, to fund its private ventures.
It added that doing so would contravene the Investments and Securities Act, 2007.
SEC further adviced the general public to always confirm from the Commission whether an entity providing investment services has been duly registered and whether the investment schemes are authorised by the Commission to avoid losses.