Uche Usim, Abuja

The Securities and Exchange Commission (SEC), and the Nigerian Financial Intelligence Unit (NFIU), have signed a Memorandum of Understanding (MoU), to collaborate on combating crime in the Nigerian capital market, starting with the eradication of suspicious transactions. The MoU will also target operators of ponzi schemes and other illegal and injurious transactions in the financeial space. 

Ag. DG of the SEC, Ms. Mary Uduk, who spoke in Abuja during the signing of the Memorandum of Understanding, with the NFIU, said the collaboration was necessary to close ranks in the face of insider dealings, ressurgence of Ponzi schemes, cybercrime and other fraudulent activities that have engulfed the market in the last few years.

Uduk said the Commission was paying close attention to digital transactions and was in the process of amending its rules to capture such transactions.

The Acting DG disclosed that the Commission already has regulations that prohibits shell companies from operating in the capital market and implored the NFIU to assist with solutions to track suspicious transactions as they occur.

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“If we have solutions that will help us track transactions, it will reduce incidence of insider dealings greatly. We would be very willing to collaborate with you on that in our determination to ensure that our markets are efficient and transparent and all investors are protected” Uduk said.

According to her, some areas where the MoU seeks co-operation of both agencies includes training, secondment of middle cadre officers in both organisations, cross border monitoring, repatriation of stolen funds from the capital markets and prosecution of offenders among others.

On the rising spate of Ponzi schemes in the country, Uduk stressed the need for more collaboration between both organisations in areas of sensitisation to ensure unsuspecting Nigerians do not continue to lose their hard earned money.

In his remarks, Director of NFIU, Mr. Modibbo Tukur, commended the SEC for the relationship that has existed between both organisations and assured that the NFIU would continue to play its part in ensuring that the financial system is safe for Nigerians to operate.