Central Bank Orders Banks To Suspend Debts Linked With Fraud


The Central Bank of Nigeria has ordered the Deposit Money Banks to droop the bank money owed and Bank Verification Numbers of their customers linked with any fraudulent activities.

The order was contained in a framework released with the aid of the CBN to guide the banks in the operations of the BVN.

The framework came barely one yr after the CBN mandated all financial institution clients in the united states to reap their BVN.

As a result of the framework, a variety of the DMBs have written to their customers, informing them of the improvement and their readiness to suspend any account linked to any fraudulent activity.

The bank’s letter to its customers on the development, a copy of which was once got via newsmen, read, “This is to inform you that the CBN currently launched a framework to information the operations of the BVN and a watch List for the Nigerian financial system.

The emergence of the BVN appears to have given the regulator and industrial banks the authority to perceive and deal with any infraction by using any bank customer.

The CBN Governor, Mr. Godwin Emefiele, lately threatened to use the BVN to blacklist serial loan defaulters in the banking sector.

According to the CBN governor, the need to expand finance get admission to to the agriculture and the MSMEs segments to develop the economic system is imperative, declaring that the SMEs represent 95 per cent of the groups in the country.