The Securities and Exchange Commission (SEC) has directed the Nigerian Stock Exchange (NSE) to place the shares of Oando Plc on technical suspension.
In a statement by the management of the commission on Wednesday, they said that the company would be suspended due to several complaints against it by shareholders in the capital market.
Technical suspension is the interruption of price movement in listed shares for a specified period of time.
Once the security is suspended, shares of that security cannot be traded on the market until the suspension is lifted or lapses. The exact amount of time for the suspension will be determined on a case-by-case basis.
According to the statement, one EC Mangal and Ansbury Incorporated filed a case against Oando before the SEC.
It said that the commission carried out a comprehensive review of the petitions and found out the company allegedly breached the provisions of the Investments and Securities Act 2007.
It alleged that Oando breached the SEC’s Code of Corporate Governance for Public Companies and was also guilty of suspected insider dealing.