The National
Insurance Commission (NAICOM) has dissolved the board of the
International Energy Insurance (IEI) following allegations against some
directors of the company, among others.
In its place, a three member interim
board has been appointed to oversee the affairs of the company while
necessary investigation is being conducted.
As part of this intervention, the chief
executive officer and some key officers will proceed on leave to pave
way for a thorough investigation of the affairs of the company,
Rassaq Salami, head, corporate affairs, NAICOM, said in a statement on
Sunday.
The action, Salami said, is pursuant to
the powers conferred on the commission by the enabling laws to intervene
in the affairs of the company as a result of financial reporting
failures, allegations made against some of the directors, and board
squabble necessitating regulatory action in the interest of
policyholders and other stakeholders of the company.
Members of the interim board include
Muhammad Ahmad, the former director-general of the National Pension
Commission (PENCOM), who will serve as its chairman; Daisy Ekineh, a
former commissioner of the Securities and Exchange Commission (SEC), and
Bridget Adeyinka, a one-time acting managing director of Societe
Bancaire Nigeria Ltd, now Unity Bank.
The board is mandated to conduct
forensic investigation into the affairs of the company and
identify factors and persons responsible for the erosion of
shareholders’ value.
The appointment which takes immediate effect shall be for an initial period of six months, subject to renewal, if necessary.
The company remains a going concern with
capacity to continue to underwrite all types of general insurance
business, Salami stated.
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