The Securities and Exchange Commission (SEC) has urged investors to identify and reclaim their unclaimed funds and other legitimate entitlements in the Nigerian capital market.
The Executive Commissioner, Corporate Services, SEC, Samiya Hassan-Usman, made the call on Wednesday at a two-day public enlightenment programme and investor clinic on unclaimed funds in Kano.
Ms Hassan-Usman said the programme was aimed at bringing the commissionโs investor protection initiatives closer to the public and helping investors understand the procedures for recovering their legitimate entitlements.
She urged participants to use the opportunity to ascertain whether they, family members, or organisations had unclaimed funds in the Nigerian capital market.
According to her, many investors are unaware that they have legitimate entitlements arising from public offers, mergers, acquisitions, and other corporate actions.
โSome of the funds have remained unclaimed for years because their rightful owners were unaware of their existence or did not know the procedures for recovering them,โ she said.
The executive commissioner said the outreach was not only about recovering unclaimed funds but also about promoting financial literacy, encouraging proper investment record-keeping, and reminding investors to update their personal information and mandate their bank accounts for e-dividend payments.
She said keeping investment records up-to-date and providing accurate banking information would enable investors to receive their investment benefits promptly and prevent future difficulties.
Ms Hassan-Usman also warned investors against Ponzi schemes and other fraudulent investment arrangements, urging them to verify the registration status of investment operators with the SEC before committing their funds.
She advised investors to be cautious of investment offers promising unusually high or guaranteed returns with little or no risk.
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โโBefore making any investment decision, verify that the operator is registered with the Securities and Exchange Commission and take time to understand the risks involved,โ she advised.
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โMs Hassan-Usman encouraged participants to become ambassadors of investor education by sharing the knowledge acquired at the programme with their families, friends, colleagues and communities.
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โShe said increased public awareness would enable more Nigerians to recover funds that rightfully belonged to them, make informed investment decisions and contribute to building a stronger, transparent and inclusive capital market.
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โAlso speaking, Nasiru Shehu, representative of the Central Bank of Nigeria (CBN), Kano State branch, said the programme was timely and important.
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โโMany investors lack adequate knowledge of how to reclaim funds arising from their investments,โ he said.
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โMr Shehu added that investors who subscribe to shares during public offers might not always receive the full amount or number of shares applied for, resulting in balances or other entitlements that could remain unclaimed.
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โHe added that lack of knowledge of procedures for recovering such funds had prevented some investors from accessing their legitimate claims.
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โโThis enlightenment programme is very apt and timely because our people will be enlightened today and tomorrow on how to reclaim their unclaimed funds,โ he said.
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โMr Shehu said the investor clinic would provide participants with an opportunity to ask questions, obtain clarifications and understand their rights and responsibilities regarding unclaimed funds.
(NAN)
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