The Emir of Kano, Alhaji Muhammadu Sanusi II on Tuesday raises alarm over increasing wonder banks that are swindling innocent investors and fund depositors in the country.
The Emir decried the situation while speaking at a world investors week and stakeholders forum organized by Securities and Exchange Commission (SEC).
The Emir represented by Dan Maje Kano and District Head of Gwale Alhaji Yahaya Abbas said those duping the people are capitalizing on the low level of financial education to commit the atrocity.
“There was a need for SEC and Association for the Advancement of the Rights of Nigerian Shareholders (AARNS) to educate people on the illegal activities of some people who promised unsuspecting individuals abnormal returns on investments.
“The commission can organise Investors Fair with a view to ensuring effective sensitisation of prospective investors on the range of financial services in the capital market and other financial institutions, “Emir Sanusi said.
“Once you are financially educated and know what investment is nobody can deceive you because in the financial market there are instruments which will give you fixed returns,’’ he said.
On his part, President, Association for the Advancement of the Rights of Nigerian Shareholders Dr. Faruk Umar appealed to Central Bank of Nigeria (CBN) to protect the interest of small shareholders when withdrawing banks operating license so as to encourage investors.
“You can imagine that share value of Sky bank PLC two weeks before the withdrawal of its operational license was on the rise as it became scares. That shows that there was insider abuse that was not known to small shareholders”.
“While commending the CBN with the promise that their interest will be protected, ask for similar gesture being extended to shareholders of defunct Intercontinental Bank, Savanna Bank and Bank PHB,” said Faruk.
In his address, the Head, Market Development Department of SEC, Bello Abdul, said this is the second edition of the celebration of the week.
He said the first edition was held last year in Lagos and Kano is hosting the second edition.
Bello Abdul said the event was organized to sensitise potential investors on the importance of non-interest and commodity product investments.
The event was attended by secondary schools and tertiary students , Bayero University Kano International Institute of Islamic banking , Rice farmers and others