CIS Deregisters Erring Stockbrokers

The Chartered Institute of Stockbrokers (CIS) has deregistered two of its members and suspended one for unprofessional conduct.

The CIS, which is the professional body for stockbrokers in the country, in a statement on Friday, named the affected stockbrokers as Mr. Peter Ola and Mr. Kingsley Nnaji, while the third member, Mr. Akinwale Olagundoye, was suspended from trading in the capital market for six months.

The Institute said the deregistration of the brokers followed the judgment of the CIS Disciplinary Tribunal, which found them guilty of various offences. The CIS Tribunal is saddled with instilling discipline among members and thus, protecting investors in the market.

In the judgments made available by the Secretary of the  Tribunal,  Mr. J.B. Odofin,  Mr. Ola was deregistered after the tribunal found him guilty of infamous conduct contrary to and punishable under regulations 5(vi), 5(vii) and 5 (xii) and section 11(1)(a) of the CIS Act of 1992.

The statement read in part: “Four count charges were brought against Ola, including the collection of money from persons with the pretence that he had shares to sell; conniving with securities houses not registered with the Securities and Exchange Commission and the Nigerian Stock Exchange to defraud unsuspecting investors.”

It added that Nnaji was deregistered for infamous conduct for which the Disciplinary Committee of the NSE found him guilty and his dealership clerkship withdrawn since last year. “The NSE terminated Nnaji’s authority to utilise the trading facilities provided by the exchange. After reviewing the decision of the NSE committee, the CIS Tribunal declared that the conduct of Nnaji was of such magnitude that warranted the penalty given by the Exchange,” the statement explained.

myfinancialintelligence.com