Section 125 Investments and Securities Act

Section 125 of the Investments and Securities Act 2025 is about Contents of contract note or transaction confirmation. It is under Part X (Conduct of Securities Business) of the Act. It provides as follows:

(1) A contract note or other form of transaction confirmation given by a securities dealer under this Part shall include —
(a) the name and style under which the securities dealer carries on his business as a securities dealer and the address of the principal place at which he so carries on his business;
(b) the name and address of the person in whose favour the securities dealer issues the contract note or other form of transaction confirmation;
(c) the date on which the transaction took place;

(d) the number, amount and description of the securities which are the subject of the contract or transaction;
(e) the price per unit of the securities;
(f) the amount of the consideration;
(g) the rate and amount of commission, if any, charged;

(h) the amounts of all stamp duties or other duties and taxes payable in connection with the contract or transaction; and
(i) if the settlement amount, and any other relevant information with or without the benefit is to be added to or deducted from the settlement amount in respect of the right to a benefit purchased or sold together with the securities, the first-mentioned amount, and the nature of the benefit.

(2) A securities dealer who fails to issue a contract note or other form of transaction confirmation in accordance with this Act is liable to a penalty of not less than N200,000.

(3) Where a contract note or other form of transaction confirmation containing false or misleading information is issued by any securities dealer, the securities dealer and any of its principal officers who issued or authorised the issuance commits an offence and is liable on conviction in the case of the —
(a) securities dealer, to a fine of not less than N10,000,000 or an amount equivalent to four times the amount of profit derived by it or loss avoided in the transaction, or to imprisonment for a term not less than three years or both, and

(b) principal officer to a fine of not less than N2,000,000 or an amount equivalent to four times the amount of profit derived or loss avoided in the transaction whichever is higher and or to imprisonment for a term of not less than five years.

(4) Where an investor suffers a loss as a result of the contravention of sections 124 and this section of this Act, the securities dealer shall refund to the investor an amount equivalent to the loss, together with interest at a rate to be prescribed by the Commission.