The Security and Exchange Commission (SEC) has revoked the licences of five companies and directed them to stop carrying out any fund management activities with immediate effect.
The companies are Georgetown Capital Partners Limited, Equity Capital Limited, Index Analytics Limited, DM Capital Limited and Oxygen Advisory Limited.
According to a statement posted on the commission’s website on Tuesday, April 23, 2019, licences of the companies were revoked in pursuant to Section 122 of Security Industry Act, 2016 (Act 929).
Although the statement on the website of SEC (www.sec.gov.gh) did not give the exact reason for the closure of the companies, it hinted that the closure of the five companies was as a result of the fact that they breached some provisions governing the operations of security companies.
The SEC, therefore, cautioned the public against engaging in any further transaction with them.
“The Commission wishes to inform the general public that anyone who engages in any transaction with any of these companies or their representatives, in their capacity as Fund Managers, could be exposing him/herself to avoidable risk,” a statement on the commission’s website said.
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Per the Security Industry Act, 2016 (Act 929), SEC has been mandated to promote the orderly growth and development of an efficient, fair and transparent securities market in which investors and the integrity of the market are protected.
It also has the power to sanction and revoke any company that breaches any provisions in the Security Industrial Law.
The commission, however, assured all investors, market operators and the public that “it is committed to ensuring rigorous enforcement of all the rules for operators in the capital market as spelt out in its core mandate”.
