The Board of Standard Alliance Insurance Plc has appointed Bolaji Oladipo as the Acting Managing Director to replace Bode Akinboye who was recently suspended by the Board.
Prior to his appointment, Oladipo was the firm’s Director Technical Operations. He was also the former Managing Director Standard Alliance Life until the firm was merged with the General Business arm to formed a composite structure.
Bolaji has a Bachelor of Science degree in Economics from the Lagos State University in 1990 and received his Master of Business Administration specializing in marketing management from the same university in 2006.
It has been reported that Akinboye who was suspended by the board is presently being investigated by the National Insurance Commission (NAICOM). His sack according to report was due to enormous complaints raised against him.
The firm is presenting struggling with financial losses, huge management expenses, bloated share structure; large fines for infractions; resignation; retrenchment; closure of departments amongst other challenges.
The firm’s 9-months financial performance ended September 2017, revealed a group loss before tax of N2.14 billion.
The underwriter has for four years between 2012; 2013; 2014 and 2016 recorded losses, while its management expenses soared. In 2016, it recorded Loss Before Tax of N1.21 billion; Loss After Tax of N1.34 billion and management expenses of N1.52 billion.
In October, some staff of the firm who was not comfortable with the management decisions resigned, thereafter, the firm retrenched 31 staff, leaving it with 208 as against 239 staff it had in 2016.
The firm, it was learnt has shut down some departments, prominent amongst them is the Corporate Affairs, which members of staff were forcefully moved to marketing.
The firm faced the wrath of the Nigerian Stock Exchange (NSE) as it was made to cough out N8.2 million monetary fines for failure to submit its audited 2016 account before the expiration of deadline given to listed companies to do so.
According to a data sourced from X-Compliance Report of the NSE dated 3rd of November, 2017, the company was said to have contravened the listing requirement of the exchange by its late submission of its financials.
The company, investigation revealed, has been consistent in payment of fines to the regulatory authorities for the last three to four years, yet have failed to declare meaningful dividend or bonus to its shareholders within these periods. A development, shareholders are unhappy with.
Information has it that the company also paid monetary fines running into millions of Naira to the National Insurance Commission (NAICOM) with these periods.
Consequent upon paying these monetary fines running into several millions of naira to the two regulators, it impacted negatively on their balance sheet as they were unable to declare meaningful dividend or bonus to their respective shareholders, a development some of its existing shareholders are unhappy with.
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