Chaka Technologies says it has been transparent about regulatory status in its business, leveraging strategic partnerships with registered brokers in the U.S. and in Nigeria, specifically the Citi Investment Capital Ltd.
Tosin Osibodu, Co-founder and Chief Executive Officer (CEO), Chaka Technologies , in a statement on Sunday said that Citi Investment Capital Ltd is regulated by the Securities and Exchange Commission (SEC).
He was responding to news of the Securities and Exchange Commission restraining it and its promoters from advertising or offering for sale shares, stock or other securities of companies or other entities.
The News Agency of Nigeria (NAN) reports that the SEC had on Saturday, Dec. 19, 2020 in a statement, said that the Investment and Securities Tribunal granted an interim order to restrict Chaka advertising or offering for sale shares, stock or other securities of companies or other securities of NSE-listed companies.
Osibodu said that Chaka’s commitment to investor education, trust and transparency remained top priority.
“ We would like to state that Citi Investment Capital is fully compliant with the commission’s regulations.
“All local equities were offered through a locally licensed brokerage firm, registered with the Nigerian Stock Exchange (NSE), Central Securities Clearing System (CSCS) and regulated by Nigeria’s Securities and Exchanges Commission (SEC).
“We only learned about SEC’s position on the same day the statement was published on their website, while we await receiving the formal order from SEC.
“Please note that all investments are placed by a duly licensed entity and remain safe through Citi Investments using the Chaka platform and will continue to be custodian to a SEC-regulated broker.
“We do not advertise, solicit, or offer securities of companies as alleged,’’ he said in the statement.
Osibodu said that following the SEC statement, the company’s legal and operations teams were working to accelerate a resolution and further update would be provided by Monday, Dec. 21, 2020.
He, however, said all the information about the company’s regulatory status was publicly available on its website at chaka.ng/disclosures.
“Our mission remains the same, to enable global investing for Africans,’’ he said.