Short answer: what you’re being asked to do is not automatically a red flag—but the way it’s being handled (repeated requests, back-and-forth) suggests either inefficiency or poor process management, not necessarily fraud.
Let’s break this down so you can assess it properly.
✅ What the correct dematerialization process should look like in Nigeria
When converting physical share certificates (or legacy broker-held shares) into your CSCS account:
You complete a Dematerialization Form
Attach:
Original share certificate(s) (if physical shares)
Valid ID
Passport photo
Submit through a stockbroker or registrar
They forward it to:
Registrar → verifies ownership
Central Securities Clearing System → credits your CSCS account
📌 About sending hard copy to Ikoyi
This part is important:
Many registrars (e.g. Meristem Registrars, First Registrars, CardinalStone Registrars) still require physical submission
Especially if:
Shares were bought long ago
There are signature verification issues
Certificates are involved
Or your mandate details are inconsistent
👉 So asking for a hard copy in Ikoyi is normal in many cases
🚩 But here are the warning signs you should not ignore
You may be dealing with a problematic agent if:
They keep changing requirements after you comply
They don’t clearly state ALL requirements upfront
They refuse to identify:
Their firm name
Their registration with Securities and Exchange Commission Nigeria
Their broker license
🔍 What you should do immediately
1. Confirm WHO you are dealing with
Ask them directly:
Company name
Office address
SEC registration number
Then verify:
On SEC Nigeria website
Or through Nigerian Exchange Group broker list
2. Confirm if they are the actual registrar
Every stock has a registrar. Example:
Zenith Bank → Coronation Registrars
GTCO → GTL Registrars
👉 If you’re not dealing directly with the correct registrar or a licensed broker, that’s a problem.
3. Ask for a clear checklist
Before sending anything again, request:
“Please provide the complete and final list of requirements for dematerialization to avoid repeated submissions.”
A legitimate firm will give you a one-time complete checklist
4. Avoid sending original documents blindly
If they are requesting originals:
Use courier with tracking
Keep scanned copies
Confirm receiving officer name
💡 My honest assessment
Request for hard copy → Normal in Nigeria
Repeated back-and-forth → Process inefficiency OR inexperienced handler
Risk level → Moderate (verify before proceeding further)
⚠️ Bottom line
You’re probably not being scammed, but you should not continue blindly.