A bank in which Nedbank has a significant holding is under investigation for allegedly manipulating its accounts to improve its financial results. The Financial Reporting Council of Nigeria this week confirmed the investigation of Togo-based Ecobank, in line with provisions in the Financial Reporting Council Act. The probe is based on allegations by Altu Sadie, a former CFO of Ecobank's card division, that Ecobank applied incorrect exchange rates, which resulted in it overstating balance sheet items and income statements. Nedbank is the largest shareholder in Ecobank with a 21.2% stake, and SA's Government Employees Pension Fund through the Public Investment Corporation (PIC) holds just under 20%. The PIC did not respond to requests for comment. Ecobank is the largest independent regional banking group in West and Central Africa with more than 1,300 branches in 36 countries serving wholesale and retail customers. The business is critical to Nedbank's growth strategy in Africa. In No...
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