The Nigerian Stock Exchange (NSE) has imposed monetary sanctions on Great Nigeria Insurance and Daar Communication over their failure to meet the deadline for the submission of their audited reports and accounts for their business year.
A report obtained from the NSE, showed that so far in 2016, Great Nigeria Insurance with the highest fine of N11.3 million, the company was fined N3.8 million each for December 2014 and first quarter 2015. Also fined N2.5 million for second quarter 2015 and N1.2 million for third quarter 2015.
While Daar Communication was fined N3.7 million and N3.8 million for December 2014 and first quarter 2015 respectively. 
Great Nigeria, as at February 29, 2016, trading at its par value, 50 kobo, and the company since its listing on the NSE in 2005 has not paid dividend to its shareholders, also Daar Communication trading 50 kobo as not paid dividend since its listing in 2008. 
The NSE and the Securities and Exchange Commission (SEC) have adopted a zero tolerance stance with regard to violation of regulatory guidelines and market infractions.
As a result and in what they say is the desire to protect investors, ensure transparency and enshrine good governance in the market, sanctions have been imposed on market operators and quoted companies several times.
However, shareholders have asked the NSE to go beyond cash punishment as this is not having effect on the company since the company can pay, the reality was that the shareholders are the ones suffering the consequences of fines.
The president, Progressive Shareholders Association, Mr. Boniface Okezie, said that the cash punishment is not enough for the company, saying “I am not saying that people should not follow the rules, but when you are imposing penalties that will not have meaning to the shareholders, the end result is that it is the shareholders who will suffer the consequences. And when we ask questions about the penalties paid at annual general meetings, the companies will say they are imposed on them by the Stock Exchange.
“We want to see a situation where the Exchange will be very beneficial to the shareholders. It is not penalties that make the Exchange beneficial to the shareholders.”
He gave the assurance that shareholders on their part would continue to advise the companies and operators to abide by the rules of the Exchange to avoid paying such penalties.