Connect with us

Business

CBN forex hammer falls on 3 banks, may be fined N2bn each

Published

on

CBN forex hammer falls on 3 banks, fined N2bn each

For allegedly running fowl of the Central Bank of Nigeria’s (CBN) rules, one of the three banks said to be under its scrutiny, the Standard Chartered Bank, has been found culpable and is to cough out N2 billion as fine for running against the foreign exchange rule.

The supervisory team of CBN monitoring the interbank exchange market, working on a tip off allegedly traced about $150 million sold to some customers of the three commercial banks, alleged to have been sold at higher percentage than the approved interbank rate.

On closer observation, the supervisors intercepted the transaction through their monitoring system and found out that Standard Chartered Bank had already finished its transaction on that line.

An official of CBN said there would be more banks to pay such fines if the on-going investigations were concluded and they were found guilty of running fowl of the rule on the forex market.

Read also: Why Senate delays FIRS budget 4 months after Buhari’s submission

But when contacted the officials of Standard chartered Bank refused to make any comment on the matter.

However, First Bank, which a source said was among the banks earlier mentioned as being under the apex bank’s close-watch said there was no evidence of that.

An official of the bank, Femi Adeyeye, said there was no truth in the rumour, adding: “How can we be involved in such when on three occasions that CBN had sanctioned banks for going against its rules; we have always been out of the number.

He confirmed that periodically CBN carries out a routine check on the activities of commercial bank at the interbank exchange market and other duties.

According to the CBN Inter Bank Rules and Regulations, commercial banks found guilty of violating any of the rules will after payment of stipulated fines, are also to have their treasurers suspended from participating in the market for a certain period of time.
By Emma Eke….

RipplesNigeria …without borders, without fears

Join the conversation

Opinions

Support Ripples Nigeria, hold up solutions journalism

Balanced, fearless journalism driven by data comes at huge financial costs.

As a media platform, we hold leadership accountable and will not trade the right to press freedom and free speech for a piece of cake.

If you like what we do, and are ready to uphold solutions journalism, kindly donate to the Ripples Nigeria cause.

Your support would help to ensure that citizens and institutions continue to have free access to credible and reliable information for societal development.

Donate Now