Saturday, April 20, 2013
Nigeria regulator says lifts capital market ban on Ecobank
Nigeria's stock market regulator said on Thursday it had lifted a suspension on Ecobank from capital market activities, imposed last month because of irregularities surrounding a margin loan.
"The suspension on Ecobank has been lifted ... they can now participate in capital market activities," Securities and Exchange Commission (SEC) spokesman, Yakubu Olaleye, said.
Last month, the SEC said an Ecobank client Arian Capital Management had used capital from another company as collateral for a margin loan from Ecobank. After suspending Arian, the SEC also suspended Ecobank pending an explanation.
Ecobank said at the time the ban would not affect it because its Nigeria arm no longer deals in secondary markets. The sum of the loan was just 11 million naira ($69,400), the bank said. ($1 = 158.5000 naira) (Reporting by Chijioke Ohuocha; editing by Tim Cocks and James Jukwey