By Matthew Don
Amid alleged inflation of costs running into millions of naira that affect the operations of companies through printing of annual reports and accounts, the Security and Exchange Commission (SEC) has moved to outlaw it.
In place of printed stuff, such reports and accounts will be transmitted digitally by the quoted companies.
The implication is that those who are in the business of printing hardcopies of annual reports and accounts for companies should be ready to face hard times.
Simply put, they are no more in business going forward.
The SEC has revealed plans to stop quoted companies from such printing.
The Director General of the apex capital market regulatory body, Mounir Gwarzo, made this disclosure at the Capital Market Committee (CMC) briefing held recently in Lagos.
The regulator’s push results from findings that printed annual reports of companies given to shareholders for free before or at their annual general meetings (AGM) are usually produced at high costs running in millions of naira, thereby increasing companies overhead expenses which is detrimental to the returns given to shareholders.
When implemented, shareholders of quoted companies will receive digital copies of the annual reports in a timely manner and accessible format.