Proshare Logo
   Market Date: 23-01-2015   
Agriculture ARTS FINANCE All One Min News Archives Bonds Cap Mkt Sentiments Capital Market CASHLESS NIGERIA Commodities Corporate Earnings Daily & Weekly Market Updates Elections Enterpreneurship ETFs Forex Frauds & Scandals General Global Market Insurance Investors NewsBeat Islamic Finance Mergers & Aquisitions Money Market Mortgage Mutual Funds Nigeria Economy Oil Sector Opinions and Analysis Pensions People Personal Finance Politics Power Products & Services Professionals Property Public Offers Private Placements Regulators REITs Stock PICKS Taxation Telcos Travel & Tours Unlisted OTC MARKET World of Business

SEC submits report on Cadbury\\\'s overstatement saga

Category: Frauds & Scandals

  Read (1842)
SEC submits report on Cadbury\\\'s overstatement saga

August 16, 2007/ Guardian



Having concluded its investigations in the alleged overstatement of accounts of Cadbury Nigeria Plc, the Securities and Exchange Commission (SEC), has submitted its findings to the Federal Ministry of Finance, and other security agencies.


However, several court injunctions were said to be a clog in the wheel of the hearing of the case before the Administrative Proceeding Committee (APC) of the commission.



A competent source close to SEC said: \"The comprehensive report of the findings of SEC running into volumes has been submitted to various security agencies, including the National Security Adviser (NSA), the Minister of Finance, among others. It has about five or six volumes. The parties involved were billed to appear before APC some weeks ago, but some of them came with court injunction that they should not be tried. This was the second court injunction.\"



The commission had recently alleged that Cadbury Nigeria Plc was frustrating efforts to investigate the overstatements reported in the company\'s accounts last year.



Cadbury, however denied this and said it was collaborating fully with the regulator.



\"We are cooperating with SEC,\" the spokesman of Cadbury, Mr. Kufre Ekanem, said on telephone.



An overstatement in the accounts of Cadbury


Nigeria was discovered last year after the company appointed an independent investigator, PriceWaterhouseCoopers, to probe its accounts.


SEC, which regulates the activities of all quoted companies, said it constituted an administrative proceeding committee to conduct a thorough investigation into the fraud, but said Cadbury was blocking the investigations.



The Acting Director, Investigations and Enforcement, SEC, Mr. Charles Udora, said that when the panel was to hear the position of the company, Cadbury


Nigeria brought an order from the Federal High Court and stopped the proceedings.


Udora, who spoke in a programme on Channels Television monitored by our correspondent in


Lagos, said that as a law abiding corporate citizen, SEC stayed proceedings on that day, went to that court and discharged that order.


\"We were able to discharge that order and we fixed other date for the hearing, which were July 23 and 24. And then, we were slammed with another injunction from the company,\" he said.



He said that with the information available to the commission, it would have sat down and taken a decision.



According to him, SEC decided to go a step further by bringing in all stakeholders to a very transparent atmosphere that was clear to everybody.



\"But the issue is being prevented by the same company we are trying to assist to bring out the truth. If this goes on for a longer time, the commission will do what it ought to have done,\" he said.



Cadbury declined to comment on the court injunction.



\"The matter is in court. We can\'t comment,\" Ekanem said.



Udora, however said that Cadbury, which claimed to have discovered the overstatement should allow transparent investigations.



He said, \"we only invited everybody, including the directors, auditors, members of the audit committee to come and say what they know for the world to know. We have constituted the panel, but the company is the one preventing the panel from hearing from them.\"



The President, Progressive Shareholders Association of Nigeria, Mr. Boniface Okezie, flayed Cadbury for going to court to stop SEC.



According to him, since the APC was a legal organ meant to resolve issues in the market, Cadbury ought to have waited for the outcome and if not satisfied, it could then decide to go to the Investments and Securities Tribunal. 


Tags: , 

Comment With Your Facebook or Yahoo! ID

Latest news

News on Frauds & Scandals

About Us

Who We Are
Our Team & Partners
Corporate Governance
Advertise with Us
Subscribe / Unsubscribe
Site Map
News Feed - RSS
Contact Us
Volunteer Program
Message from CEO

News & Features
The Analyst / Market Data
Investor Relations Portal
The Regulator
Economy & Politics
Training Portal
Events Calendar
NewsStands - Online Reputation

Products and Services

Research & Market Intelligence
Analyst Services
Offers & Rights Support Service
Investor Relations Services
Alert & Subscription Services
Share Support Services
Proshare Consult
Event & Seminar Coverage
Market Directory
File a Complaint
News & Analysis

News from TheANALYST
Video News from WebTV
Money Market Updates
Opinions & Analysis
Nigerian Economy
Market Data
The Regulator
Discussion Forum

Subscriber Agreement
Privacy Policy
Data Policy
Copyright Policy
Comments in Site
Advertising Code
Conflict of Interest
Content Partnership
3rd Parties

Online Trading and Execution
Legal Support Services
Web/Technology Services
File a Complaint

CBN Governor 2014