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SEC ambushes Oando’s court action plot, appoints interim management team

Just as strong indication emerged weekend that the embattled management of Oando Plc has resolved to challenge the Securities and Exchange Commission (SEC) on the outcome of its forensic audit at a competent court of jurisdiction from today (Monday), the regulator Sunday, appointed an interim management team for the company.
According to SEC, the management team headed by Mr. Mutiu Olaniyi Adio Sunmonu, is to oversee the affairs of Oando Plc, and conduct an Extra Ordinary General Meeting on or before July 1, 2019 to appoint new Directors to the Board of the Company, who would subsequently select a Management Team for Oando Plc.
In a terse statement issued Sunday evening by SEC’s head of Media, Efe Ebelo, the regulator averred that “The commission wishes to reiterate its commitment to maintaining the integrity of the market”.
Recalls that Sunmonu had served as the Managing Director of Shell Petroleum Development Company of Nigeria (SPDC) Limited from 2004 to March 1, 2015 and had also served as Vice President of Production Sub-Saharan Africa at Royal Dutch Shell plc and served as its Country Chairman
However, a top official in the company confided in Business Hilights that the board will this week challenge the report of the SEC based on a number of grounds including the fact that the alleged infractions and penalties are unsubstantiated, ultra vires, invalid and calculated to prejudice the business of the Company.
Oando had in a terse statement weekend argued that “The Company has not been given the opportunity to see, review and respond to the forensic audit report and so is unable to ascertain what findings (if any) were made in relation to the alleged infractions and defend itself accordingly before the SEC.
“The Company reserves its rights to take all legal steps to protect its business and assets whilst remaining committed to act in the best interests of all its shareholders”.
Trouble had started last Friday when SEC, in a statement explained that it appointed Deloite Nigeria to carry out forensic audit which has exposed unpardonable infractions hence the regulatory need to sack the board.