*As NAHCO replaces Ernst &Young
WorldStage– Stanbic IBTC Holdings Plc announced the termination of PwC’s auditing services, but muted the reasons the auditor resigned, a clause whose omission invalidates the disclosure on the Nigeria Exchange Group in April 24 notice.
Earlier, the company’s 2025 audited financial statement (AFS), in the directors’ report, had stated PwC, one of the Big 4, which on-boarded in 2021, “have indicated that they will be retiring as auditors … at the conclusion of the AGM scheduled to hold in May 2026”.
Neither the directors’ report nor the notice stated the reason PwC gave for resigning, five years into appointment.
The Nigeria Code of Corporate Governance (NCCG 2018), though, permits a registered company to retain the service of an external auditor for as long as 10 years.
But the Company and Allied Matter Act (CAMA) provides that an auditor can terminate its engagement at any time by filing a notice of resignation to its client’s registered office.
CAMA, in section 365 (2),, however, states such a notice will not be effective unless it contains either:(a) a statement to the effect that there are no circumstances connected with his resignation which he considers should be brought to the notice of the members or creditors of the company; or (b) a statement of any such circumstances as are mentioned above.
The law mandates such company to disclose this statement to the Corporate Affairs Commission, and “every person who under section 344 of this Act is entitled to be sent copies of the financial statements.”
This category of persons includes company’s members, or debenture-holders, or “all persons other than members and debenture holders, being persons so entitled.”
How much this provision covers the investing public to whom Stanbic IBTC disclosed the “ineffective” resignation may be arguable, though.
The group will be presenting a new auditor to its shareholders during its annual general meetings coming up May 25.
In the five years of its professional relationship with the company, PwC saw its remuneration climb 160.7 percent from N422 million in 2021 to N1.1 billion in 2025—for auditing the group, according to the AFS.
Non-auditing fees , for services including NDIC certification, CBN Code of Corporate Governance, and others, in 2024 and 2025 added up to N143 million. It also audited the group’s banking subsidiary, too.
Demonstrating its market leadership, PwC bagged another client at the Nigeria Aviation Handling Company (NAHCO) Plc May 15 annual general meeting.
Complying with the NCCG, NAHCO relieved its former external auditor Ernst & Young after 10 years of providing auditing services only.EY earned N39 million and N54 million from auditing NAHCO’s books in 2024 and 2025 respectively.
