November 09, 2009

A double whammy against banks was served up at the weekend by both the Central Bank of Nigeria (CBN) and the Economic and Financial Crimes Commission (EFCC).Any Director of the 24 banks who fails to redeem loans by November 30 will have his appointment terminated by the CBN, and may face arrest and prosecution. Checks are to be carried out by the EFCC on bank loan seekers to weed out those looking for money for dodgy projects.

A new policy pursued by the CBN prohibits bank Directors from owing their banks or other financial institutions in the country, and a circular on this has been sent out to all banks.The circular, dated October 26, was signed by CBN Director of Banking Supervision, Samuel Oni, who explained that the aim is to enhance corporate governance in line with global best practice.