The Securities and Exchange Commission has issued a series of directives to Ikeja Hotel Plc and its investee companies following the conclusion of a forensic audit into the company’s operations and longstanding shareholder disputes.

In a regulatory filing on the Nigerian Exchange Limited on Thursday, the company secretary, Olubunmi Tadema, disclosed that the SEC’s directives include the restatement of Ikeja Hotel’s indebtedness and the transfer of shares tied to unauthorized transactions dating back to 2001.

The intervention stems from a protracted dispute between two branches of the Ibru family—the faction led by Goodie Ibru and the estate of the late Alex Ibru.

Although a Settlement Agreement was reached in 2017, the SEC mandated a forensic audit to uncover irregularities, appointing Akintola Williams Deloitte for the task.

According to Tadema, the audit raised several issues that were subsequently addressed by the Board of Ikeja Hotel with input from external auditor Grant Thornton.

Following its review, the SEC issued a directive on June 27, 2025.

Among the key actions ordered, the Commission directed Goodie Ibru and Associated Ventures International Limited to refund Ikeja Hotel the value of shares in 13 quoted companies.

These shares were allegedly acquired using proceeds from the unauthorized sale of one million Union Bank Plc shares in 2001.

The refund is to include all dividends and bonuses accrued since the transaction.

The development marks a significant regulatory move to resolve corporate governance concerns and enforce accountability in one of Nigeria’s legacy hospitality firms.

“That the Goodie Ibru/AVL, having agreed to relinquish his interest, should forthwith transfer to IHPLC the monetary value of all the shares of 13 other quoted companies (Texaco, Total, UBA, Mobil Plc, Nigerian Breweries, Nestle Plc, Julius Berger, Cadbury, Lever Brothers, Guinness Plc, First Bank, BOC Gases, and GTB) he purchased with the proceeds of the unauthorised sale of the one million (1,000,000) units of Union Bank Plc shares in 2001, which belonged to IHPLC, along with all the dividends and bonuses that have accrued thereto. The monetary value to be returned to IHPLC should be determined by the market prices on the various dates the identified shares were sold,” read the statement.

The commission further directed that “the misstatement of the indebtedness of Ikeja Hotel Plc due to Associated Ventures International Limited in the sum of N1,226,753,000.00 in the financial statement of Ikeja Hotel Plc should immediately be restated by the current Interim Board of Ikeja Hotel Plc to reflect the sum of N167,389,125.61, being the sum supported by documentation.”

The SEC directed that the N12 billion in shareholder loans recorded in Ikeja Hotel’s books be reduced by 40% for each shareholder, with the company required to settle the discounted balances. It also mandated that all shareholders with a 10% or greater stake must execute a shareholder agreement in a format approved by the Commission.

In a move to strengthen corporate governance, the SEC further ordered the reconstitution of the company’s Board to ensure that one-third of its members are independent non-executive directors, including the chairman.