The management of Oando Plc on Wednesday 6th September released a statement justifying its position on the position of alleged gross abuse of corporate governance and financial mismanagement. You would recall that the Security and Exchange Commission (SEC) on Wednesday, 23rd August, 2017, wrote a letter requesting that Oando postpone its 40th AGM so that the Commission could look into the shareholding positions contained in the Company’s 2016 Audited Financial Statements. Two major shareholders of the oil giants petitioned the Security and Exchange Commission (SEC) calling for the removal of the management team and sack of all board members. Alhaji Dairu Manga, who is said to own about 17.9 per cent share of the company, expressed his displeasure about the management of the company, especially the handling of the ConocoPhillips transaction.
Ansbury, on the other hand, had raised serious concerns about the capacity of the management team to effectively run the company.
Upon conclusion of the investigation carried out by the Security and Exchange Commission (SEC), it might interest you to know that SEC’s response is in line with the Company’s initial position that the request from SEC that Oando postpones its AGM, which was premised upon the allegations and claims raised by the petitioners lacked merit. The reason being that the issues raised by the petitioners were fully and properly disclosed by the Company in its audited financial statements and have received Board, shareholder and where required SEC approval. Other matters highlighted by the petitioners could have been directed to the Company and would have received the necessary clarification.
For the records, please find below an update On the SEC investigation.
1. The Securities & Exchange Commission (SEC) constituted a Special Task Team to review the petitions by Alhaji Dahiru Mangal and Ansbury Inc. To date the Company has fully co-operated with the SEC, availed them of all documents requested, and provided clarification and appropriate rebuttals to the issues raised.
2. The Company received a letter from the SEC on Wednesday, 23rd August, 2017, requesting that Oando postpone its 40th AGM so that the Commission could look into the shareholding positions contained in the Company’s 2016 Audited Financial Statements as it was at variance with those alleged by the petitioners.
3. Oando responded officially on Wednesday, 23rd August, 2017 addressing all the issues raised by the SEC and concluded that it would not be in the best interests of the Company or our shareholders to postpone the AGM.
4. In a letter dated Thursday, 31st August, 2017, the SEC wrote to the Company and categorically stated: ‘Following the submission of an Interim report by the Special Task Team, the Commission is of the opinion that it is unable to identify any material findings that would warrant the postponement of the Company’s 40th Annual General Meeting (AGM) scheduled to hold on September 11, 2017. Consequently, Oando PLC can proceed with its 40th AGM as currently scheduled.
The Company remains committed to act in the best interests of all its shareholders and will continue to fully co-operate with the SEC in the discharge of its duties as the Capital Markets regulator.