LEGAL ANALYSIS OF THE SHAREHOLDERS’ RIGHTS AND INFORMATION AND COMMUNICATION TECHNOLOGY IN NIGERIA

This study argues that deploying Information and Communication Technology (ICT) in corporate governance will strengthen the rights of shareholders and promote their effective participation in the affairs of the company in Nigeria. Nevertheless, the present corporate law on the right of shareholders in Nigeria are largely defective and inconsistent in creating enabling environment for shareholders to take the benefits of ICT in the exercise of their rights. For instance, section 240(2) of the Companies and Allied Matters Act (CAMA) 2020 promoted electronic meetings for private companies, but restricted public companies that would have needed electronic meetings the most. Besides, there are no rules for determining the specific electronic means that is suitable for the shareholders, thereby allowing company to provide electronic means that may be beyond the reach of the shareholders. Also, the Securities and Exchange Commission established e-dividend regime in 2015, but it is limited to companies listed on the Nigerian Stock Exchange. Therefore, this study analyzed comparative lessons from Canada and Europe, and recommended that the Nigeria’s Corporate Affairs Commission should, as a matter urgency, introduce standard guidelines for ICT and shareholders’ rights in Nigeria.