The Nigerian Exchange (NGX) has imposed fines totaling N74 million on five insurance companies for failing to submit their financial reports within the stipulated deadlines. This was disclosed in the NGX Regulation Limited’s latest X-Compliance Report, released on Friday, December 27, 2024.
The X-Compliance Report is part of NGX’s commitment to ensuring market integrity and protecting investors. It provides detailed compliance data on listed companies and highlights infractions under the NGX Rulebook, which mandates timely submission of financial statements by all listed entities.
Among the penalized firms, African Alliance Insurance Company incurred the highest fine of N48.6 million for submitting its 2022 annual report late on November 22, 2023. This marked the company’s first financial filing in nearly a year. The delay came amid the sacking of its board and management by the National Insurance Commission (NAICOM) due to failure to meet obligations to clients, particularly annuitants.
Lasaco Assurance Plc was fined N8.7 million for submitting its 2023 Annual Financial Statement (AFS) on September 25, 2024. Regency Alliance Insurance Plc was fined N7.8 million after filing its results on September 16, 2024. Guinea Insurance Plc and Universal Insurance Plc were fined N3.4 million and N2.8 million, respectively, for their delayed 2023 annual reports, submitted on August 3 and July 28, 2024.
Universal Insurance Plc also faced an additional fine of N3 million for late submission of its unaudited first-quarter financial statement for 2024, filed on July 30, 2024.
The NGX Rulebook enforces stringent regulations to ensure timely and transparent reporting. Non-compliance is penalized to safeguard investor interests and uphold market standards.
In related developments, the NGX recently launched a digital platform designed to simplify the capital-raising process for issuers, including public offers and rights issues. The initiative is expected to improve efficiency, accessibility, and compliance for stakeholders in the financial ecosystem.
The penalties underline NGX’s unwavering focus on regulatory compliance and the broader need for accountability within Nigeria’s insurance and financial sectors.
