SEC Launches Campaign to Recover N270bn in Unclaimed Dividends
- The SEC launched a nationwide campaign to help investors reclaim an estimated N270 billion in unclaimed dividends and investment funds
- SEC Director-General Emomotimi Agama said the sensitisation drive will cover all six geopolitical zones and use social media and electronic platforms to reach investors
- Under the Finance Act 2020 and ISA 2025, unclaimed dividends dormant for six years are moved to a trust fund, but shareholders retain full ownership and can recover their money
The Securities and Exchange Commission (SEC) has kicked off a nationwide campaign aimed at helping Nigerian investors reclaim approximately N270 billion in unclaimed dividends and other outstanding capital market funds.
The exercise was launched with a town hall meeting in Lagos and is designed to raise awareness about how investors can verify and recover their entitlements, including funds held under the National Investor Protection Fund (NIPF).
Source: Facebook
What the N270bn Pool Covers
SEC Director-General Emomotimi Agama, represented at the event by the Director of Registration and Exchanges in the Market Infrastructure Department, Hafsat Rufai, said the dormant funds span several categories.
These include proceeds from public offers, consideration from mergers, acquisitions, and corporate restructuring transactions, as well as other capital market-related funds that have remained dormant over the years, Punch reports.
Agama said:
"The Commission considers this situation unacceptable. Funds belonging to investors should ultimately find their way back to their rightful owners."
He added that a significant portion of unclaimed funds persists because beneficiaries are either unaware that investments exist or do not know the legal steps required to claim inherited assets.
He said:
"As a result, valuable investments and returns on investments sometimes remain inaccessible for many years, thereby denying beneficiaries the financial benefits intended for them."
Nationwide Sensitisation Planned
The Lagos event is the first in a series of engagements that will be extended to the six geopolitical zones and the Federal Capital Territory.
The SEC also plans to use its official website, social media channels, and electronic media to widen its reach, and will continue to publish and regularly update lists of companies whose corporate actions have resulted in dormant funds.
Agama urged investors to keep proper records of their portfolios and called on families to take deliberate steps to preserve and transfer inherited investments.
On the legal framework, the SEC clarified that under the Finance Act 2020 and the Investments and Securities Act (ISA) 2025, unclaimed dividends outstanding for more than six years are transferred to the Unclaimed Funds Trust Fund, where the Federal Government acts solely as custodian.
Source: Getty Images
Shareholders do not forfeit their entitlements and can initiate recovery at any point after completing the required verification process.
Agama also warned the public against Ponzi schemes and fraudulent platforms that exploit economic hardship by advertising unrealistic guaranteed returns.
He urged Nigerians to confirm the legitimacy of any investment opportunity directly with the SEC before committing funds.
UBA, Zenith lead as investors share N2.09trn
Earlier, Legit.ng reported that the stock market extended its bullish run, with investors gaining N2.09 trillion as strong buying interest pushed equities into positive territory.
The rally was driven by sustained demand in consumer goods, industrial, and banking stocks, despite weak overall market breadth.
The benchmark NGX All-Share Index (ASI) rose by 1.48% to 222,837.68 points from 219,585.20 points.
Source: Legit.ng
