SEC Revokes Registration of Mainland Trust Limited as Capital Market Operator Due to Regulatory Non-Compliance and Unresolved Complaints

The Securities and Exchange Commission (SEC) has taken decisive action against Mainland Trust Limited, revoking the company’s registration as a capital market operator due to regulatory non-compliance and unresolved complaints. This decision, effective immediately, was made under specific provisions of the Investments and Securities Act, 2007, and the SEC Consolidated Rules and Regulations 2013.

In a statement released by the Commission, it was highlighted that Mainland Trust Limited had failed to adhere to regulatory directives, leading to the cancellation of its registration. As a result, all clients of the firm have been advised to contact the Central Securities Clearing Systems (CSCS) for guidance on transferring their stocks to another stockbroker of their choice.

Furthermore, the SEC has instructed major capital market institutions to cease any dealings with Mainland Trust Limited, emphasizing the seriousness of the situation. This move underscores the SEC’s commitment to investor protection and market integrity.

The legal basis for the SEC’s decision was outlined in the relevant provisions of the Investments and Securities Act, 2007, and the SEC Consolidated Rules and Regulations 2013. These provisions empower the SEC to take action against market operators who fail to comply with regulatory requirements or address complaints from clients, ensuring market discipline and due process.

Overall, the revocation of Mainland Trust Limited’s registration serves as a reminder of the importance of regulatory compliance in the capital market industry and the SEC’s role in safeguarding investors’ interests. Investors and market participants are urged to stay informed and vigilant in light of these developments.