Section 10: Issue of securities.

(1) No person shall, except with the permission of the Minister-
(a) transfer any security or create or transfer any interest in a security, to or in favour of a person resident outside Nigeria;
(b) transfer any security from a register in Nigeria to a register outside Nigeria or do any act which is calculated to secure, or forms part of a series of acts which together are calculated to secure, the substitution for any security which is either in or registered in Nigeria of any security which is either outside or registered outside Nigeria;
(c) issue, whether in Nigeria or elsewhere, any security which is registered or to be registered in Nigeria to a person resident outside Nigeria; or
(d) acquire or dispose of any foreign security.
(2) Where the holder of a security is a nominee, neither he nor any person through whose agency the exercise of all or any of the rights of the holder in respect of a security is controlled shall, without the permission of the Minister, do any act whereby the holder recognises or gives effect to the substitution of another person as the person from whom he directly receives instructions, unless both the person previously instructing him and the person substituted for that person were, immediately before the substitution, resident in Nigeria.
(3) The Minister may, if he thinks fit, require any transfer of a security to be supported by a declaration by the parties to the effect that the transferee is not resident outside Nigeria.
(4) Notwithstanding anything contained in this or any other Act, no person shall, without the permission of the Minister-
(a) enter any transfer of securities in any register or book in which securities are registered or inscribed if he has any ground for suspecting that the transfer contravenes the provisions of this section; or
(b) enter in any such register or book in respect of any security whether in connection with the issue or transfer of the security or otherwise, an address outside Nigeria except by way of substitution for any such address in the same country or for the purpose of any transaction for which permission has been granted under this section with knowledge that it involves the entry of the said address.
(5) For the purposes of this section
(a) "foreign security" means any security issued in any country other than Nigeria and includes any security where the principal or interest is payable in any foreign currency or is payable elsewhere than in Nigeria;
(b) "holder", in relation to a bearer security where it is deposited with a person in a locked or sealed receptacle from which the person with whom it is deposited is not entitled to remove it without the authority of some other person, means the person entitled to authorise its removal and in any other case means the person in whose physical custody the security is;
(c) "nominee" means a holder of any security (including a bearer security) or any coupon representing dividends or interest who is not entitled to exercise any rights whether of ownership or otherwise save in accordance with instructions given to him by some other person, and includes any person who is entitled to give instructions either directly or through the agency of one or more persons as to the exercise of any rights in respect of the security or coupon, and is, in so doing, himself under a duty to comply with instructions given by some other person;
(d) "security" includes coupons and warrants representing dividends and interest.