Home Insurance Digest Staco, GNI insurance companies deny offending NSE rules

Staco, GNI insurance companies deny offending NSE rules

Staco, GNI insurance companies deny offending NSE rules

Great Nigeria Insurance Plc and Staco Insurance Plc said that they have not contravened rules guiding the conducted of quoted companies at the Nigerian stock Exchange (NSE).

The denials came on the heels of allegations that House of Representatives Sub-Committee on Capital Market and Institutions had found some companies culpable in their dealings with the NSE.

“The Great Nigeria Insurance Plc has never received any warning, query or sanctions regarding insider trading from the Securities and Exchange Commission (SEC) or National Insurance Commission (NAICOM) which both provide regulatory framework for the company, contrary to allegations by the House of Representatives Sub-Committee on Capital Market and Institutions following the public hearing held on Wednesday, October 31, 2018”, the company had explained..

The Managing Director/CEO of the underwriting firm, Mrs. Cecilia O. Osipitan made this known in a statement made available to newsmen in Lagos today.The Acting Managing Director of Staco Insurance Plc Mr. Bayo Fakorede also confirms that there was no iota of insider dealings in the company.

“The inability of the Management to attend the meeting as scheduled by the House Committee was due to an unforeseen circumstances which was duly communicated to the Sub-Committee. We have attended similar meetings in the past and thus would not intentionally make off from attending the scheduled meeting. The Management of the company confirms that it anchors her operations on high ethical standards which imbibes the principles of full disclosure, accountability, transparency and respect for stakeholders’ interest. This has been the manner of dealings with all regulatory authorities and the stakeholders at large, which are enshrined in regular fillings of all mandatory reports” he stated.

Mrs. Osipitan said it has come to the notice of the Board of Directors and Management of GNI that the House of Representatives Sub-Committee on Capital Market issued a statement on Monday, November 5, 2018 threatening to authorize SEC to take over the Management of GNI Plc.She assured the company’s shareholders and general public that the organisation is compliant with all the rules and guidelines of the various regulatory agencies that oversee its operations making all the allegations of insider dealings, failure to pay shareholders’ dividends, tax evasion and failure to comply with corporate governance regulations inaccurate.

She stated that the restructuring process put in place by the Board and management has boosted the Company’s retained earnings of circa from (N2.4billion) in 2009 to (N0.59billion) in 2017. This improvement in retained earnings was achieved through organic growth only.
She added that the Company has also been meticulous about making tax remittances to both the State and Federal Government and has up-to-date receipts to corroborate this fact.While allaying the fears of all stakeholders, she said the Company will ensure that the misconception regarding its operations will be resolved with the Committee.

She explained that the inability of the Company’s representative to attend the Committee’s meeting was unavoidable and same was duly communicated to the Committee. She further stated that the Company has forwarded to the Committee written detailed responses to all questions raised to set straight earlier communicated misrepresentations and will be willing to answer further questions that may arise.
Great Nigeria Insurance Plc is a compliant corporate entity and is not in any way associated with any of the allegations raised in the publication.

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