Udoma’s Reputation Can Aid Capital Market

Kenneth O Eze

Following agitations that Senator Udoma Udo Udoma should step aside from the chairmanship of the Board of the Securities and Exchange Commission (SEC), Adedotun Sulaiman MFR, who chaired the Committee for the Review of the Nigerian Capital Market Structure and Processes has declared that it is in the best interest of the nation’s capital market community that Udoma retains his seat. Udoma’s international reputation as a corrupt-free politician should buoy-up investor confidence in Nigeria’s capital market
At a media parley last week, Sulaiman stressed that the capital could be plunged into a rudderless and leaderless situation by the stepping aside of the SEC board chairman. He elucidates his point saying, “Look at today’s scenario, what will happen if Senator Udoma were to resign? We would have a new Chairman of SEC whom the President has to appoint and the Senate has to confirm.”
Today’s realities in the governance of the country make this a hard road for the capital market to travel. “Given today’s condition that would be difficult,” he continues. “In any event, those calling for his head are serving their own interests. What we would have is a SEC that would be leaderless for the long period it will take to get a replacement. This may be dangerous as people maybe waiting to explore such loopholes for selfish interests,” he warns.
Pointing out that plunging the SEC into a leaderless situation could do more harm than good, he stresses that “we have a visionary leader who wants to do good. Udoma is not the sort of person that will lobby to be made the Chairman of SEC. And he’s doing a good job.” He maintains that it is not only in Nigeria that members of the Board of capital market regulators seat on the board of quoted companies, citing an example of the UK. According to him “the directors of the Financial Services Authority of the UK are directors of Plcs and two of them are directors of banks