Business
N9m fine hangs on Royal Exchange amid financial statement gaffe
Royal Exchange Plc has revealed that the company won’t be meeting the deadline for financial statements submission for the second quarter period of 2021.
As a public listed company, the Nigerian Exchange Limited and the Securities and Exchange Commission (SEC) listing rules states that quarterly result must be released after 30 days of the end of each quarter.
The end of Q2 this year was June 30, and financials expected to be submitted by regulatory deadline of July 30, 2021, but Royal Exchange says it would be impossible to achieve.
Royal Exchange’s reason is attributed to its yet to be released Audited Financial Statements for the year ended December 31, 2020 and the Unaudited Financial Statements for the period ended March 31, 2021.
Read also: NSE: Investors lose N20.69bn as selloff continues in CWG, Royal Exchange rebounds
The company said the yet to be released Full Year ended 2020 financials and Q1 2021 will be submitted September 30, 2021 – after which it will follow up with the Q2 earnings report.
This means it will take Royal Exchange more than sixty days to release its second quarter financials for 2021. This will likely attract a N100,000 fine daily for 90 days.
If the company prolongs the release after the 90 days, the fine will rise to N200,000 for same duration. It will climb N400,000 after the time frame for another 90 days.
It means the company risks paying a regulatory fine of between N9 million to N18 million for late submission.
Join the conversation
Support Ripples Nigeria, hold up solutions journalism
Balanced, fearless journalism driven by data comes at huge financial costs.
As a media platform, we hold leadership accountable and will not trade the right to press freedom and free speech for a piece of cake.
If you like what we do, and are ready to uphold solutions journalism, kindly donate to the Ripples Nigeria cause.
Your support would help to ensure that citizens and institutions continue to have free access to credible and reliable information for societal development.
INVESTIGATION: In Kwara, multimillion-naira milk processing plant is abandoned, converted to a chicken outlet
After the government spent millions of naira to establish a milk processing plant in Kwara State that would provided jobs...
SPECIAL REPORT: For Sokoto communities, promise of healthcare is akin to death sentence
In this story, ABDULRASHEED HAMMAD delves into the dire realities of Primary Health Care services in Sokoto State, shedding light...
ICYMI…SPECIAL REPORT: NNPCL hides behind PIA to frustrate disclosure, accountability
Nigeria’s major oil company, Nigerian National Petroleum Corporation Limited (NNPCL), in what appears to be a common practice of disregard...
INVESTIGATION: Multi-million naira Ekiti resort center remains uncompleted a decade after
The multimillion-naira project, expected to comprise recreational buildings, now consists of cassava farmland, a bush used for excretion, and a...
SPECIAL REPORT: Torturous experiences of students with disabilities in Oyo tertiary institutions
For students with disabilities in Oyo state-owned tertiary institutions, learning is a torturous and distressing experience, considering the building structures...