The lingering disagreement between the Nigerian Stock
Exchange (NSE) and AIICO Insurance Plc., both major investors
in the ailing Coral Properties Plc, on the future of the
company came to a head yesterday with AIICO's appointment
of a liquidator to wind up the company.
At an extra-ordinary meeting attended by officials of
the Security and Exchange Commission (SEC) and investors
in Coral Properties, except the NSE, Messrs Babinton Ashaye
& Co., a firm of chartered accountants was appointed
liquidator with a mandate to commence liquidation immediately.
"AIICO Insurance Plc decided to call an extra ordinary
general meeting for the purpose of winding up the company
to protect the investors fund," said G T O Alegbe,
company secretary/ legal adviser, AIICO of the insurance
company.
Alegbe said it was with mixed feelings that AIICO had
to take the course of action since many people believed
there were other ways of resolving the matter.
At the fore of the disagreement is an inconclusive public
offer for subscription of 1,100,000,000 ordinary shares
done by Coral Properties Plc in April 2000, but that as
at yesterday when the meeting was called the result of
the offer was yet to be made public.
"We have written several letters (including official
visits) to NSE, the majority shareholders and promoters
of Coral Properties Plc, to request for the status of
the public offer or to call a meeting of the directors
to deliberate on the way forward for the Company to no
avail," said Alegbe.
The response received from NSE since August 28, 2001
was that it would get in touch with Nigerian National
Petroleum Corporation (NNPC) Pension Fund who are interested
in taking up the un-subscribed shares of the inconclusive
public offer of April 2000.
Besides, Alegbe said AIICO notified NSE of some damning
reports in the news media (not THISDAY), and requested
for a meeting for a proper understanding of the status
of the project and clarified issues in various misconceptions
on the publications without success.
"Neither did, NSE as a promoter of Coral Properties
Plc, with the largest shareholding, respond to the various
press reports; on the subscriptions made by investors
on the public offer," Alegbe said. Mr. William Oluyanju
Scott, Director of AIICO, who chaired the meeting, said
the liquidator was expected to collate assets of the company
and commence repayment with interest to all subscribers.
