The Securities and Exchange Commission has said that investors can now enrol for e-dividend payments at banks and registrar branches nationwide through the online platform inaugurated in July.
According to the commission, the development follows the release of a circular on the implementation of the e-dividend mandate management system portal by the Central Bank of Nigeria to all Deposit Money Banks on Monday.
In a circular dated September 16, the SEC said that the e-dividend scheme had been a priority initiative for the entire capital market in a bid to curb the growth of unclaimed dividends and improve the overall efficiency of Nigeria’s equities markets.
“The e-DMMS portal utilises NIBSS’ (Nigerian Inter-Bank Settlement System) robust document management system to which e-dividend mandate forms filled by the investor can be uploaded,” it explained, adding that the e-dividend form could be obtained and properly filled at bank branches or in the office of a registrar.
The commission explained that when an investor decides to fill the form at a registrar’s office, the registrar should verify details such as the investor’s name, account number and clearing house number.
After that, the form would be uploaded to the e-DMMS portal for immediate access by the investor’s chosen bank, which in turn would validate the investor’s Bank Verification Number and other account details.
SEC added, “Should an investor choose to complete the e-dividend mandate form at his bank branch, the bank shall validate his/her BVN and account details before uploading a scanned copy of the form to the e-DMMS portal.
“This uploaded form would immediately be accessible to the investor’s chosen registrar who is required to validate the investor’s name, shareholder account number and clearing house number.”
It praised the CBN and NIBBS for showing strong support for the scheme, while also praising DMBs for their high commitment to implementing the scheme.
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Source : Punch