TRANSFER OF SHARES FROM A SUSPENDED/INACTIVE/EXPELLED STOCKBROKING FIRM TO AN ACTIVE STOCKBROKING FIRM
In a bid to ensure a seamless transfer of securities (including shares, exchange traded funds and fixed income securities) by investors from suspended/inactive/expelled stockbroking firms to active stockbroking firms, The Nigerian Stock Exchange (“NSE”) hereby wishes to inform the investing public of the established processes involved in the transfer of their securities. The requirements as prescribed by the CSCS are listed below: 1. The Active/Target Firm shall be required to avail CSCS of the Bank account details of an investor that is desirous of transferring his/her shares from an Inactive/suspended/expelled Firm to an Active/Target Stockbroking Firm. 2. The following documents shall be required by CSCS to process the transfer request(s): a) A copy of the Know Your Customer (KYC) documents used in opening the account under the Active/Target Stockbroking Firm; b) Details of the investor’s Bank Account (not bank statement) operated for a minimum period of six (6) months. c) Evidence of ownership of shares from the investor such as: Contract Notes; Purchase Receipts; or Dividend warrant stubs. d) Identification materials which could be any of the following: National Identity Card; Current Driver’s License; or Current International Passport 3. The Active/Target Firm shall be required to communicate through correspondence to CSCS that it has conducted a satisfactory KYC process on the investor in addition to the physical documents submitted to CSCS.www.nse.com.ng 4. Two authorised signatories of the Active/Target Firm including the Managing Director and another authorized signatory are required to visit CSCS with hardcopies of the above documents to sign, seal and stamp the indemnity form provided by CSCS. Note that the Managing Director’s personal Chartered Institute of Stockbrokers (CIS) seal and the Active/Target Firm’s official stamp are required for the execution of the CSCS indemnity form. 5. The shareholder transferring his/her account from a Suspended/Inactive/Expelled Firm is required to visit CSCS with proof of identification for a bio data capture as further proof of ownership. If the shareholder cannot visit CSCS for the bio-data capture due to distance, age, illhealth etc. one of the identification documentation listed in paragraph 2(d) above should be duly confirmed by a notary public before submission to CSCS.