SEC reiterates sole authority to license capital market operators, warns against fraudulent schemes

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The Director-General of the Securities and Exchange Commission (SEC), Dr. Emomotimi Agama, has reaffirmed that only firms registered with the SEC are legally authorised to operate in Nigeria’s capital market.

Speaking on Channels Television’s Business Morning programme on Tuesday, Agama stressed that while the Corporate Affairs Commission (CAC) registers businesses generally, it does not regulate their activities in the securities space.

“The Corporate Affairs Commission will register your business but does not register your functionality in the Nigerian capital market,” he said.

“Licences for investments and securities businesses are issued only by the SEC, not by any other body.”

Agama cautioned Nigerians against promoters who lure unsuspecting investors with unrealistic promises of high returns.

“Once somebody tells you they can give you something you know is not possible, know certainly that that is a fraud,” he warned.

The SEC boss disclosed that the Commission had recently issued more than 85 advisories against fraudulent investment schemes ranging from real estate scams to pump-and-dump operations.

Quoting the Investment and Securities Act, Agama said the law clearly empowers the SEC as the sole regulator of the capital market.

“Section 3(a) of the Investment and Security Act, No. 2 2025, strictly speaks to it that the SEC regulates businesses in Nigeria, and so, it is our responsibility as a representative of the federal government to monitor and moderate the business environment,” he stated.

“Anyone who is involved in such activity and is not registered with the Commission violates the law. And it is important. If you do not understand, please ask questions, and asking questions means reaching out to the SEC.”

Agama urged the public to contact SEC offices in Lagos, Kano, Port Harcourt, and Abuja for guidance.

“The SEC has offices in Lagos, Kano, Port Harcourt, and the head office in Abuja. We are ready 24/7 to provide this information,” he said.

He also revealed that the SEC is driving a digitisation process that will make it easier for Nigerians to confirm the legitimacy of operators and ask questions online.

“As we drive towards this, the SEC is undergoing serious digitisation that will culminate in having a soft code where people can ask questions, and also an SEC app that will enable people to make enquiries online to move the nation forward,” Agama explained.

According to him, the upcoming SEC app and short code will allow real-time verification of registered operators and help strengthen investor protection.

On the performance of the Nigerian capital market, Agama noted that its value had risen above ₦91 trillion, backed by stronger governance, improved infrastructure, and enhanced operator capacity.

“It is our responsibility as the representative of the federal government to monitor and moderate this environment,” he said.

“Anyone involved in securities business without SEC registration is in violation of the law.”

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