The Chartered Institute of Stockbrokers has deregistered two of its members for unprofessional and infamous activities.
CIS, which is the professional body for stockbrokers in the country, said the deregistration of the brokers followed the judgement of the CIS Disciplinary Tribunal, which found them guilty of various offences.
The CIS Tribunal is saddled with instilling discipline among members and thus, protecting investors in the market.
A statement from the institute on Friday said the affected stockbrokers were Mr. Peter Ola and Mr. Kingsley Nnaji.
It, however, added that a third member, Mr. Akinwale Olagundoye, was suspended from trading in the capital market for six months.
Olagundoye has, however, appealed against the decision.
In the judgements made available by the Secretary of the Tribunal, Mr. J.B. Odofin, Ola was deregistered after the tribunal found him guilty of infamous conduct contrary to and punishable under regulations 5(vi), 5(vii) and 5 (xii) and section 11(1)(a) of the CIS Act of 1992.
The statement said, “Four count charges were brought against Ola, including the collection of money from persons with the pretence that he had shares to sell; conniving with securities houses not registered with the Securities and Exchange Commission and the Nigerian Stock Exchange to defraud unsuspecting investors.
“Among the charges against Ola, between May and June 2009, he was said to have collected the sum of N320,000 from two persons under the false pretence that he had shares of Friesland Campina Wamco Nigeria, when he knew in actual fact he had no such shares to sell.”
It added that Nnaji was deregistered for infamous conduct for which the Disciplinary Committee of the NSE found him guilty and his dealership clerkship withdrawn since last year.
“The NSE terminated Nnaji’s authority to utilise the trading facilities provided by the exchange. After reviewing the decision of the NSE committee, the CIS Tribunal declared that the conduct of Nnaji was of such magnitude that warranted the penalty given by the Exchange,” the statement explained.
It said that accordingly, the name of Nnaji, has been struck off the register of members of the institute with the liberty to respondent to seek the reinstatement of his name should the decision of the NSE against him be reversed by an appellate Tribunal.