Professional Services

Group petitions EFCC over alleged shortchanging of five South-West states by Glanvill 

by Editor

August 18, 2016 | 12:00 am
  |     |     |   Start Conversation

 

A coalition, Civil Society Network Against Corruption (CSNAC), has urged the Economic and Financial Crimes Commission (EFCC), to urgently probe the activities of Glanvill Enthoven and Co Nig Ltd, over an alleged collusion and manipulation in its equity shares which was aimed at shortchanging the owner states of Oyo, Osun, Ogun, Ondo and Ekiti states.

 

In a petition forwarded to the anti-graft commission and signed by the coalition’s national chairman, Olanrewaju Suraju, the group urged the EFCC to investigate the allegations and confirmed their veracity.

 

According to CSNAC, it has in its custody a petition from victims of criminal misappropriation of shares, forgery and corruption allegedly perpetrated by management Staff of Glanvill Enthoven and Co Nig Ltd.

 

It noted that it has investigated the allegations and confirmed their veracity.

 

“According to our findings, back in 1957, the Western Region Government through National Bank Ltd incorporated Glanvill Enthoven & Co Nig Ltd (GEN) as an Insurance Brokerage Company in Nigeria with 50/50 Equity ownership with Glanvill Enthoven London, UK as the Technical Partner. Glanvill London was subsequently acquired by Jardine Lloyd Thompson (JLT Risk Solutions) who nominated NIB Investment (W.A.) (NIBI) to represent her interest in GEN. That foreign holding was then treated as JLT/NIB Shares in GEN

 

“During Indigenisation Decree in the 1970s, National Bank acquired additional holding to become 60/40 majority owner. In the same 1970s, banking regulation directed banks to divest from ownership of insurance and Insurance brokerage companies. As a result of this, the 60% ownership in Glanvills was transferred to Odua Investment Company Ltd (OICL).

 

“From then thereon, OICL continued to nominate Directors to serve along with the nominees of NIBI as Directors on the Board of GEN. OICL been owned by the 5 South West Owner States usually populate the Board of Glanvill with persons nominated by the Owner States Governments and typically one of them serves by rotation as Non Executive Chairman of the Board.”

 

While stating that there were strange developments leading to Glanvill’s ownership misappropriation, the group said, “Regrettably, the Management of OICL led by the Group Managing Director based at Cocoa House, Ibadan was observed to have ineffective oversight relationship with the Board and Management of GEN. Some of the documents indicate GEN where they have 60% controlling equity being regarded as an Associate Company and there are manifested cases of contest of reporting relationship and subordination by GEN Management and Board with OICL Management and Board.

 

“It is such control vacuum that allowed OICL nominated Non Executive Chairman and Directors at GEN in the 2000’s to wrongly assume Executive powers and steer the company for personal benefits.

 

“This action gave OICL 100 per cent Ownership and Consideration paid is EVIDENT. One Chief Tunji Omisore was the OICL nominated Chairman of GEN at the time of this transaction. It was later known to OICL that Chief Omisore back in 2003 was involved in subterfuge action to sell JLT Shares in GEN to an unknown buyer for which the then OICL GMD sent a letter dated 20 November 2003 to JLT dissociating OICL from such illegal move (Appendix 2).

 

Expressing some of its findings that borders on the misappropriation of th common patrimony of the South-West, the group said it had looked thoroughly at provided evidence and found that UIB Nigeria Ltd RC No. 491828 registered on 4 September 2003 (Appendix 3) is the company on Corporate Affairs Commission’s records. There was also a United Insurance Brokers Nigeria Ltd with RC 3085 that is now DELISTED

 

CSNAC said its findings show that, “There is ample evidence of Fraudulent Acquisition of the purported 40 per cent Shares of GEN by UIB Ltd or UIB Nigeria Ltd floated by Chief Tunji Omisore as there is neither a clause for consideration in the Shareholders’ Agreement nor any evidence of payment for the 40% Shareholding.

 

“There is a deliberate act of forgery and impersonation of United Insurance Brokers Ltd of UK in the said Shareholders’ agreements. Whereas this is a London based Company, the signatories on the various agreements are Nigerians out of which Chief Tunji Omisore and a Prince Kole Aderemi signatures can be identified. In addition, there are deliberate attempts to clone the official letterheads of United Insurance Brokers Ltd (UIB UK) – See Appendixes 8 -11

 

“There is Collusion, Acquiescence and Insider Dealing by GEN and OICL management in the execution of the purported share Transfer transaction in the Shareholders’ Agreement.”

While demanding independent investigation of allegations and documents contained in this petition, the group urged the EFCC to invite All OICL GMDs and Company Secretaries and GEN MDs and Company Secretaries from 2003 to Date to explain their role in (a) above and all Established cases of Insider Dealing on the part of OICL & GEN Staff should be Diligently Prosecuted.

 

Other demands are the prosecution of all those involved in the criminal conversion and acquisition of shares and dividends from GEN and forgery in UIB letterheads.

 

Other demand include, “Revocation of UIB Nig Ltd, UIB Ltd and United Insurance Brokers Nig Ltd part ownership of GEN and its Subsidiaries,” among others.


by Editor

August 18, 2016 | 12:00 am
12893  |   93   |   0  |   Start Conversation

Big Read |  

Analysis
Does Conoil need a makeover?

Does Conoil need a makeover?

One of Nigeria’s oldest company, Conoil Plc is looking like a company in need of a game changer as its...



MTN Felele

Banking App