Okereke-Onyiuke’s removal: FG seeks explanation from SEC

The controversy trailing the removal of the former Director-General of the Nigerian Stock Exchange, Prof. Ndi Okereke-Onyiuke, by the Securities and Exchange Commission assumed another dimension on Thursday.

The Attorney-General of the Federation and Minister of Justice, Mr. Mohammed Adoke, directed the commission to explain the circumstance surrounding the removal.

This followed a petition written by lawyers of the former DG to the AGF, challenging her controversial removal by the Director-General of SEC, Ms. Arunma Oteh.

The petition, signed by Mr. Paul Erokoro SAN, a copy of which was made available to our correspondent, pointed out that the commission was bias in its removal of the former NSE DG.

It also said that SEC acted “with undue and indecent haste. The period of notice was just one day, which was unreasonable in the circumstances as council members were not given sufficient time to deliberate and decide on the allegations.”

The petition also alleged that SEC flouted Section 262 of the Companies and Allied Matters Act, which prescribes the procedures for the removal of a director, as well as numerous provisions of the Investment and Securities Act.

The petition read in part, “On August 4, 2010, about 150 mobile policemen acting on the orders of SEC, invaded the Exchange and forcibly removed our client from office “The actions of SEC were without legal backing. Section 262 of CAMA, which prescribes the procedure for removal of a director was not complied with. No special notice, as required by Section 262 (2), was given before our client was removed.”

However, in a response to the petition, the AGF, in a letter to SEC, urged the commission to respond to the allegation.

The letter, with reference HAGF/SEC/2010/VOL 1/1, titled, “Re: Abuse of power by the SEC and the Nigeria Police in the wrongful removal of Prof. Ndi Okereke-Onyiuke as Director-General of the NSE,” was addressed to the DG of SEC.

It read in part, “I have been directed to refer you to a letter dated November 8, 2010 from Paul Erokoro and Co. in respect of the above named subject.

“I am to request your comments on the letter under reference for the attention and consideration of the Attorney-General of the Federation.”
Source:punchng