Stock broker jailed for 7 years in Lagos for fraudulent sale of shares

A stock broker identified as Tajudeen Folaji was today sentenced to seven years imprisonment by a Lagos state High Court sitting in Ikeja. Tajudeen was found guilty of a one-count charge of unauthorized sale of shares and stealing contrary to Section 390(8) (b) of the Criminal Code Law, Cap C17, Vol. 2 Laws of Laws of Lagos State 2003.

Delivering judgement on the case filed by the EFCC, the presiding judge, Justice Kudirat Jose, fined Folaji's company, First Alstate Securities Limited, where he served as managing director, N20 million. Folaji was arrested and arraigned following a petition from the Security and Exchange Commission in 2010 that he fraudulently sold the shares of Adesoye Holdings Limited in IPWA Plc.

Investigations showed that he sold 31,886,200 units of Adesoye Holdings Limited shares in IPWA Plc worth millions of naira without any authorization from the company. Aside the seven years imprisonment, Justice Jose also made an order that the EFCC should trace his properties and sell them and give the proceeds to Adesoye Holdings Limited.