CBN Proposed To Fine Banks Hoarding New Naira Note.

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The Central Bank of Nigeria may fine banks hoarding new notes a sum of N5m and members of the public selling the new notes N50,000. This was based on the Central Bank of Nigeria Act of 2007 and the Banks and other Financial Institutions Act of 2020.

According to the Banks and other Financial Institutions Act, 2020, the CBN governor may propose to alter, rescind or enforce fresh or more conditions on a licensed bank or financial institution after notifying the banks involved.

It noted that any bank that fails to comply with conditions is liable to a fine of at least N5m and an extra N100,000 for each day of the compliance failure.

EFCC nabs Abuja bank manager hoarding N29m new notes Section 5(6) of the Act read, “Any person who, being a director, manager or officer of a bank fails to take reasonable steps to secure compliance with any of the conditions of the licence of the bank commits an offence and is liable on conviction to imprisonment for a term of not less than three years or a fine of not less than N2,000,000 or both.

“In the CBN Act 2007, it is an offence to hawk, sell or otherwise trade in naira notes, and anyone found guilty can face imprisonment for a term not less than six months or a fine of at least N50,000.

Punch

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