The board of MRS Oil Plc, on Tuesday announced the resignation of Alhaji Dahiru Barau Mangal, as non-executive director, from its board.
No reasons were offered for the move, even as Mangal, who petitioned the Securities & Exchange Commission (SEC) against the management of Oando Plc, alleging serious infractions, following which shares of the company which are also listed on the JSE Exchange in Johannesburg have been placed on suspension since October 18, 2017.
SEC explained that it had carried out a comprehensive review of the petitions from Mangal and Ansbury, another shareholder which showed a breach of the provisions of the Investments & Securities Act (ISA) 2007; breach of the SEC Code of Corporate Governance for Public Companies; suspected insider dealing; suspected related party transactions not conducted at arm’s length; and discrepancies in the shareholding structure of Oando Plc, among others.
The commission said there was need for further investigation based on the preliminary findings, which it said were weighty.
Oando has since sought the protection of the Federal High Court, Lagos, where it obtained an injunction stopping the Nigerian Stock Exchange (NSE) from giving effect to the commission’s suspension order and the five companies appointed from carrying out a forensic audit, pending the determination of the suit.
Mangal, according to a statement by MRS Plc management, signed by O.M. Jafojo (Mrs), its company secretary, exited the board along with his alternate- Mr. Lawal Dahiru Mangal, his 35-year old son who holds a Bachelor of Science degree in Business Administration, with effect from Friday, November 17, 2017.
According to information available on MaxAir, while Dahiru is chairman, Lawal, is executive director, among his other business ventures spanning “oil and gas, building and construction works, transportation and real estate management to mention a few.” According to MRS Plc’s 2016 audited financials, Dahiru Mangal joined the board on March 20, 2009, while his alternate joined four years later on May 10, 2012.
They were not listed among shareholders with up to 5% stake in the company
Meanwhile Barau, a prominent member of the Peoples Democratic Party during the administration of President Umaru Ya’Adua, according to Wikipedia, is one of the backbones of the party in Katsina State, where President Buhari also hails from. He is a philanthropist, transporter and businessman, besides chairing the board of MaxAir, also owns AFDIN Group of Companies, Katsina Dyeing and Printing Textiles Limited and D.B. Mangal Petroleum. He is also an Executive Director of Massanawa Travel & Tours and Massanawa Enterprises Limited amongst others.