Fidelity Shares Rise Despite EFCC Allegations

The bank shares were among the few shares that recorded gains in trading after media reports that the lender’s Managing Director had been arrested by the Economic and Financial Crimes Commission (EFCC) over allegations that $115 million were passed through the bank to bribe electoral officials during the 2015 elections.

The banks share price appreciated by 2.56 per cent in yesterday’s trading on the NSE to close at N1.20 per share, making it one of the best performing stocks in the banking sector, showing that investors’ confidence. Analysts say the appreciation in share price is a sign that investors believe that the allegations will have no material impact on the bank’s operations.

“This clearly shows that investors are not really worried about the allegations. Besides, I think the figures being mentioned are exaggerated just for effect. The monies were collected in the normal course of business and disbursed in the normal course of business in my perspective.