The Central Bank of Nigeria (CBN) has issued an alert to banks and other financial institutions regarding the arrest of a Nigerian and four other individuals allegedly involved in currency counterfeiting amounting to $1 billion, intended for African countries. The CBN directive, pursuant to its Anti-Money Laundering (AML), Combating the Financing of Terrorism (CFT), and Countering Proliferation Financing (CPF) Regulations, 2022, calls on financial institutions to take specific actions.
In an administrative letter dated August 23, 2023, signed by the CBN Director of the Financial Policy and Regulations Department, Chibuzo Efobi, the CBN instructed financial institutions to:
1. Conduct searches on their database to identify any information related to the individuals involved in the currency counterfeiting.
2. Check whether they maintain any accounts or hold any funds or economic resources for these persons.
3. Identify and file suspicious transaction reports to the Nigerian Financial Intelligence Unit (NFIU).
4. Render NIL (No Information to Report) reports to the NFIU where no relevant records exist.
The CBN emphasized the need for immediate compliance with this directive.
The arrested individuals include:
1. Dele Bolade Samson Babaola – Nigerian and Swedish citizen
2. Kean Kwasi Arhin – Ghanaian
3. Netanel Jacob Weiss – United Kingdom
4. BO Nils Olof Forsanker – Swedish
5. Peter Willi Herbert Schick – Swedish
The CBN’s heightened vigilance against money laundering activities underscores its commitment to protecting the financial system from illicit activities. In a previous circular issued on July 6, 2023, the CBN urged banks and other financial institutions to remain vigilant and alert to emerging risks related to international financial system protections. The circular also highlighted the addition of Cameroon, Croatia, and Vietnam to the list of jurisdictions under increased monitoring by the Financial Action Task Force (FATF), emphasizing the need for enhanced due diligence in dealing with high-risk jurisdictions.
The FATF serves as the global watchdog for money laundering and terrorist financing, setting international standards to prevent illicit activities and their harmful impact on society. The CBN’s directive aims to ensure compliance with global AML/CFT standards and safeguard the integrity of Nigeria’s financial system.
The CBN’s proactive approach to addressing potential money laundering risks demonstrates its commitment to maintaining a secure and transparent financial environment.
