The Nigerian Stock Exchange has authorised eight banks with fines of N102.7m because they fail to file their financial statements at the regulatory date.
The Exchange launched its new sanction administration for the delay in submission of companies’ results on January 1, 2018.
It says companies might pay fines ranging from N100, 000 to more than N100m as penalties for delay in the submission of their corporate income’s reports.
The NSE wants companies to file their unaudited quarterly accounts not later than 30 calendar days after the relevant quarter.
The account should also be available within five business days after the date of filing in at least two national daily newspapers, and post it on the company’s website.
Under the new rules, late submission tends to attracts N9m in the first 90 days, N18m in the next 90 days and N400, 000 per day until the date of submission.
Data gotten from the NSE exposed that the total amount of fines this year was N341.6m.
While the amount of last year was N424.9m, bringing the total amount due from fines to N766.5m.
The data showed that of the eight banks authorised, Unity Bank Plc owed the highest amount of N80.2m.
At different times this year, the bank was fined N200,000; N9.8m, N29m, and N40.7m.
It, however, had an unpaid fine of N500,000 from 2017, which it was authorised for filing its audited 2016 financial statement late.
The bank clarified that the delay in filing its financial statements was caused by certain corporate actions.
It said these led to the wide reviews by its principal regulator.
An analysis of the bank’s financial statements displayed that its total assets dropped by 68.23 percent from N492.681bn in 2016 to N156.506bn in 2017.
Customer payments dropped to N252.31bn from N264.196bn in 2016, showing a deterioration in patronage.
The Managing Director/Chief Executive Officer, Unity Bank, Mrs Tomi Somefun, claimed that the bank had recorded recognition, public acceptance and varied patronage which had not been enjoyed in the last three years.
She said a replication of that could not be seen in the revenues because of the trials of huge non-performing loans the bank had to struggle with.
Diamond Bank Plc followed as the second highly sanctioned bank with a N7.3m fine.
The bank had an unpaid fine of N2.4m from 2017, added to the N3.8m and N1.1m fines it received at different times this year.
Fidelity Bank Plc followed, with a N6.2m fine, the breakdown of which indicate a carried forward amount of N700,000 from 2017.
Union Bank was charged N4.7m for late filing of its audited 2017 and first quarter 2018 financial statements.
While FBN Holdings Plc was fined N2.1m for failing to file its audited 2017 financial statements as at when due.
Sterling Bank Plc, Wema Bank Plc, and First City Monument Bank Plc were fined N1.3m, N800,000, and N100,000 each for late filing of their audited 2017 financial statements.