AN APPRAISAL OF THE LEGAL FRAMEWORK FOR DISPUTE RESOLUTION IN THE NIGERIAN CAPITAL MARKET
- Project Research
- 1-5 Chapters
- Abstract : Available
- Table of Content: Available
- Reference Style: FOOTNOTE / ENDNOTE
- Recommended for : Student Researchers
- NGN 3000
ABSTRACT
The capital market is the long arm of the financial market through which resources in the form of savings are pooled and channeled to the production of goods and services. Disputes often arise in capital market transactions, which must be resolved speedily, fairly and efficiently in the interest of stability of the market. Notwithstanding the various processes for dispute resolution in the Nigerian capital market, the jurisdiction to adjudicate over capital market disputes has been a source of contention among stakeholders. In the event of disagreement, the forum to ventilate grouses is not now firmly and squarely settled.The Investments and Securities Tribunal, which was created by the ISA as a solution, to this near intractable dispute resolution crisis, has been mired in constitutional and jurisdictional controversies. The Appellate Courts have not been unanimous on its jurisdiction. Furthermore, the exclusive jurisdiction of the Federal High Court on matters arising from the Companies and Allied Matters Act, 2004 has also been called to question. As things stand presently, the following research questions seek urgent answers; is the legal framework for dispute resolution in the Nigerian Capital Market adequate to resolve the current controversies in the system; does the framework for dispute resolution in the Nigerian capital market in conformity with international best practices and standards;and finally, are there special needs or peculiarities in the operationsand emerging disputes in the Nigerian capital market, requiring aspecialised dispute resolution system.The aim of this research is the attainment of a robust dispute resolution system in the Nigerian Capital Market,that will meet the aspirations of stakeholders. To this end, the objectives of this research are; to critically evaluate the extant legal framework for dispute resolution in the Nigerian Capital Market and advance recommendations, that will resolve the current challenges in the system; to examine in detail the statutory and administrative procedures for the resolution of disputes in the Nigerian Capital Market, such as the SEC Administrative Proceedings Committee and other internal enforcement processes and the disciplinary/dispute resolution of the SROs. This is with a view to making suggestions for reform, that will make same accord with global standards and international best practices.Investors’ confidence can be buoyed by an assurance of a fair and efficient dispute resolution system that is not hamstrung with teething challenges of competence. The controversies surrounding the constitutional place and jurisdiction of the Investments and Securities Tribunal has led to conflicting decisions by superior courts in Nigeria. These do not portend encouraging signs for domestic and foreign investors.Stripping the Investments and Securities Tribunal the jurisdiction in criminal matters has weakened its role as a fast-track dispute resolution mechanism in Nigeria. The facts giving rise to disputes in the market are often intertwined such that separating the fact that give rise to civil disputes from those that give rise to criminal liabilities can be quite challenging. Therefore, since capital market disputes are time sensitive, the problems arising therefrom become even more worrisome. This uncertainty is certainly not a good sign for domestic and foreign investors in the Nigerian economy. The ISA permits the SEC to constitute committees and under this power the SEC has over the years constituted the Administrative Proceedings Committee, a quasi-judicial body, to resolve disputes in the capital market. With the complement of primary and secondary data (statute,case law and existing jurisprudence) on this subject, this study finds that the absence of a formal structure for the APC or retaining it as an ad hoc committee convened at the pleasure of SEC has introduce so much uncertainty into its existence To properly situate the Investments and Securities Tribunal and address the controversies surrounding its status and jurisdiction, it is recommended that section 6 (5) of the Constitution of the Federal Republic of Nigeria, 1999 be xx amended to include the IST as a superior court of record. This will streamline the approach of the Nigerian courts and assure investors that their grievances would receive fair, firm and timeous hearing. Section 284 and 294 of the Investments and Securities Act require amendment to confer civil and criminal jurisdiction on the Investments and Securities Tribunal. Section 310 of the ISA should also be amended to clearly establish the Administrative Proceedings Committee.
Related Project Materials
Assessment of the Challenges to Nigeria’s Medium Power Role in Global Affairs: A Case Study of the Fourth Republic (1999-2015)
ABSTRACT
Middle powers are nations that have considerable influence in global affairs. These countries usually take a multilateral approa...
EFFECTS OF SOME WEATHER ELEMENTS ON THE OCCURRENCE OF MALARIA, TYPHOID AND TUBERCULOSIS CASES IN ONITSHA NORTH LGA, ANAMBRA STATE, NIGERIA.
ABSTRACT
This study was carried out on the effects of some weather elements on the occurrence of Malaria, Typhoid...
ACCOUNTING INFORMATION AND ITS IMPACT ON NON-PROFIT MAKINGS ORGANIZATION IN NIGERIA
Statement Of Problem
The persistent increase in cost of ineffective management of accounting info...
ASSESSMENT OF OCCUPATIONAL HEALTH AND SAFETY RISK IN LUTH, IDI ARABA
Background Of The Study
Infections and diseases are one of the most significant issues that might arise...
ORGANIZATIONAL CHANGE AND EMPLOYEE COMMITMENT OF MANUFACTURING COMPANIES
ABSTRACT
The study set out to assess the effect of organizational change and employees` commitment. Dat...
IMPACT OF INTERNET USAGE ON THE ACADEMIC PERFORMANCE OF STUDENTS IN NIGERIA
Abstract The recognized potential of technology to improve education has led to several initiatives to foster effective use and integration in the...
USE OF LANGUAGE EXPRESSION IN THE OF RACISM
Abstract
Obviously, it has been brought to mind that racism is one of the major issues in Black American literature and...
A FINGERPRINT AUTHENTICATION SYSTEM FOR ATM SECURITY
Abstract
The study looked into the assessment of fingerprint authentication system for ATM security. Sp...
ANALYSIS OF URBAN LAND USE PLANNING IN MINNA, NIGERIA
ABSTRACT
Housing is a basic need of every human being just as food and clothing. Density simply refers to how much of a particular object...
INFLUENCE OF PARENTING STYLE ON CHILDREN IN UGBOWO COMMUNITY
Abstract:- This study primarily aims at assessing and studying the parenting styles and its effect on the selfesteem of adole...
