The Central Bank of Nigeria (CBN) has directed Bureau De Change operators (BDCs) to ensure that their customers obtain their Bank Verification Numbers (BVN).
The directive which takes effect from August 1, 2015, is to ensure greater transparency in transactions of licensed BDCs
In a circular released yesterday, the said the provision of customers’ BVN “must be included in the Returns to the CBN.”
The circular, signed by the Director, Financial Policy and Regulation Department, CBN, Kevin Amugo, noted that “in the case of corporate customers, the BVN of a Director or an Authorized signatory of the entity must be provided.”
The CBN also mandated “all licensed BDCs to provide the BVN of all their Directors before 15th August 2015, as failure to meet this requirement may affect their continued participation in the foreign exchange market.”
Kevin Amugo further threatened a fine of One million Naira (N1,000,000) as penalty for first offenders while subsequent violation may lead to revocation of license.
According to circular, “BDC operators should please note that any BDCs that fails to provide the required information in its returns, or provides a wrong BVN, would be penalized. First offenders will be required to pay a fine of One Million Naira (N1,000,000), while any subsequent violation of the requirement may lead to the revocation of the operating license of the BDCS.”
According to the CBN, “the list of all licensed BDCs would be provided by the Central Bank of Nigeria, to the Nigerian Interbank System (NIBBS), to enable the country provide the necessary hardware token that would be used by the BDCs in accessing the NIBSS website”.
