<\/p>\n
The Central Bank of Nigeria, CBN, has directed banks to place a post-no-debit restriction on the bank accounts of 18 companies<\/strong>.<\/span><\/p>\n <\/p>\n This implies that all debit transactions, including Automated Teller Machines and cheques, on these accounts, have been blocked but can receive inflows.<\/span><\/p>\n <\/p>\n The directive was contained in a circular dated August 18 and signed by the Director of Banking Supervision, CBN, Haruna Mustapha, according to TheCable.<\/span><\/p>\n <\/p>\n The circular read in part, \u201cYou are hereby directed to place all accounts of the under-listed customers on Post-No-Debit restriction.\u201d<\/span><\/p>\n <\/p>\n TheCable stated that the affected companies include \u201cBakori Mega Services, Ashambrakh General Enterprise, Namuduka Ventures Limited, Crosslinks Capital and Investment Limited, IGP Global Synergy Limited, Davedan Mille Investment Limited and Urban Laundry.<\/span><\/p>\n <\/p>\n Others are, \u201cAdvanced Multi-Links Services Limited, Spray Resources, Al-Ishaq Global Resources Limited, Himark Intertrades, Charblecom Concept Limited, Wudatage Global Resources, Treynor Soft Ventures, Fyrstrym Global Concepts Limited, Samarize Global Nigeria Limited, and Zahraddeen Haruna Shahru.<\/span><\/p>\n <\/p>\n The report also notes that the apex bank did not provide any reason for the action in the circular.<\/span><\/p>\n <\/p>\n However, the affected accounts belong to bureaux de change, construction firms, investment companies, laundering services, and property companies.<\/span><\/p>\n <\/p>\n Meanwhile, the CBN has cautioned microfinance banks against performing certain non-permissible activities, which include wholesale backing and foreign exchange transactions.<\/span><\/p>\n <\/p>\n This was contained in a circular titled, \u2018Circular to all microfinance banks,\u2019 released on Friday by Ibrahim Tukur on behalf of CBN\u2019s Financial Policy and Regulation Department.<\/span><\/p>\n <\/p>\n The circular read, \u201cThe Central Bank of Nigeria has observed the activities of some Microfinance Banks that have gone beyond the remit of their operating licence by engaging in non-permissible activities, especially wholesale backing, foreign exchange transactions and others.<\/span><\/p>\n <\/p>\n \u201cGiven the comparatively low capitalisation of MFBs, dealing in wholesale and\/or foreign exchange transactions are a significant risk with dire consequences for financial system stability.<\/span><\/p>\n <\/p>\n \u201cIt has therefore become imperative to remind all MFBs to strictly comply with the extant Revised Regulatory and Supervisory Guidelines for Microfinance Banks in Nigeria 2012.\u201d<\/span><\/p>\n <\/p>\n The apex bank warned that it would continue to monitor developments in the MFB sector and apply stringent regulatory sanctions for violations of extant regulations, including revoking licences.<\/span><\/p>\n <\/p>\n","protected":false},"excerpt":{"rendered":" The Central Bank of Nigeria, CBN, has directed banks to place a post-no-debit restriction on the bank accounts of 18 companies. This implies that all debit transactions, including Automated Teller Machines and cheques, on these accounts, have been blocked but can receive inflows. The directive was contained in a circular dated August […]<\/p>\n","protected":false},"author":5,"featured_media":416,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_jetpack_newsletter_access":"","_jetpack_dont_email_post_to_subs":false,"_jetpack_newsletter_tier_id":0,"_jetpack_memberships_contains_paywalled_content":false,"_jetpack_feature_clip_id":0,"_jetpack_memberships_contains_paid_content":false,"footnotes":"","jetpack_post_was_ever_published":false},"categories":[8,15],"tags":[929,353,928,28],"class_list":["post-1657","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-banking","category-business-news","tag-accounts","tag-banks","tag-block","tag-cbn"],"yoast_head":"\n