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General News of Saturday, 9 November 2019


SEC’s reasons for revocation misleading and untrue – Nduom

Chairman and Chief Executive Officer of Groupe Nduom Dr. Papa Kwesi Nduom has expressed disappointment in a decision by the Securities and Exchange Commission (SEC) to revoke the license of Blackshield Capital Management.

The company was named so out of Gold Coast Fund Management after the latter came under stress from aggrieved customers, leading to suspension of operation by SEC.

On Friday, November 8, Blackshield Capital Management was named among 53 fund management companies whose licenses were revoked by SEC.

SEC cracks the whip; revokes licenses of 53 investment firms
According to a notice by the Commission, Blackshield Capital Management failed to honour clients’ redemption requests.

It also said the company, which was renamed only on July 11, 2019, failed to adhere to voluntary payment plans agreed with SEC at a complaints-hearing session.

It also failed to pay penalties slapped on them by the Commission, the notice indicated.

But a statement issued by Dr. Nduom minutes after news broke on the revocation said SEC had acted without responding to the numerous requests to assist Blackshield Capital Management retrieve its funds from various government entities.

The statement said SEC’s notice “regrettably includes a number of misleading and/or untrue statements, including the assertion that 99.41% of Blackshield’s funds were placed in one investment vehicle”.

Dr. Nduom indicated that the legal route will be followed in order to collect funds owed the company so all customers will be settled.

“In the meantime, we ask stakeholders to remain calm as we all wait for more details from SEC on the way forward.”