Oando threatens to sue SEC over forensic audit report

Omodele Adigun

As the forensic audit report released by the Securities and Exchange Commission (SEC) on Oando Plc at the weekend continues to generate controversies, the oil company has threatened to drag the capital market regulator to court over the matter.

In a statement at the weekend, the company explained that it was not given the opportunity to see, review and respond to the forensic audit report and so “it is unable to ascertain what findings (if any) were made in relation to the alleged infractions and defend itself accordingly before the SEC”.  It added that it “reserves its rights to take all legal steps  against Securities and Exchange Commission, whilst remaining committed to act in the best interests of all its shareholders”.

The statement read in part: “Our attention has been drawn to a press release published by the Securities and Exchange Commission (SEC) on Friday, May 31, 2019 “Press Release on “Investigation of Oando PLC (the Company)”.

In the statement, the Commission confirmed the conclusion of its investigations and that the findings from the report reveal serious infractions by the Company and as part of measures to address these violations, the Commission has directed penalties as follows:

•Resignation of the affected Board members of Oando Plc,

•The convening of an Extra-Ordinary General Meeting on or0 before July 1, 2019, to appoint newdirectors,

•Payment of monetary penalties by the company and affected individuals and directors,

•Refund of improperly disbursed remuneration by the affected Board members to the company,

•Bariing of the Group Chief Executive Officer (GCEO) and the Deputy Group Chief Executive Officer  (DGCEO)  of  Oando Plc from being directors of public companies for a period of five (5) years.

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