NGX Regco Fines Five Brokers ₦219.29 Million for Manipulation

NGX Regulation Limited has slapped a total fine of N291.29 million on five stockbroking firms for multiple violations on the floor of the Nigerian Exchange.

The penalties cover CSL Stockbrokers Limited, Cowry Securities Limited, Meristem Stockbrokers Limited, SMADAC Securities Limited and Associated Asset Managers Limited. The infractions include recurring wash trades, self-matching transactions, artificial price formation and other forms of misleading market activity.

NaijaChoice News obtained the official notification letter addressed to the Director-General of the Securities and Exchange Commission. Signed by Ugochi Eke on behalf of NGX Regulation Limited and dated March 27, 2026, the document is titled “Notification of Disciplinary Action – Sanctions of Five Trading License Holders.”

The Regulation and New Business Committee of NGX Regulation Limited had met on March 16 and 17, 2026 under Section 33 of the Investments and Securities Act 2025. Cases against the five firms were referred by an investigation panel following hearings held on February 25 and March 17, 2026.

At its meeting on March 27, 2026, the board of NGX Regulation Limited handed CSL Stockbrokers Limited a penalty of N91.29 million. Each of the remaining four firms — Cowry Securities Limited, Meristem Stockbrokers Limited, SMADAC Securities Limited and Associated Asset Managers Limited — received N50 million.

The regulator also ordered all five firms to undergo mandatory compliance and market conduct training. The sanctions, according to the letter, match the gravity of the breaches and are designed to deter future violations across the market.

Market watchers say the action reinforces the commitment of NGX Regulation Limited to clean trading and investor protection. With the Nigerian capital market playing a key role in funding businesses and government projects, such disciplinary steps help maintain confidence among local and foreign participants.