By Stephen Simon
The Central Bank of Nigeria (CBN) has directed banks and other financial institutions to immediately freeze accounts, assets and financial transactions linked to individuals and Bureau De Change (BDC) operators designated over alleged terrorism financing.
The directive, contained in a circular dated June 24, was issued to all banks, payment service banks and other institutions regulated by the apex bank following an update to the Nigeria Sanctions List, which took effect on June 18.
Under the order, financial institutions are required to identify and freeze, without prior notice, all funds, assets and economic resources belonging to or controlled directly or indirectly by the affected persons and entities.
The CBN also directed financial institutions to screen existing customers, beneficial owners and all incoming and outgoing transactions against the updated sanctions list to ensure full compliance with the directive.
The sanctions followed designations made by the Nigeria Sanctions Committee (NIGSAC) and the United States Department of the Treasury’s Office of Foreign Assets Control (OFAC) under Executive Order 13224, as amended, which targets terrorism and terrorism financing.
The apex bank said the directive forms part of ongoing efforts to strengthen Nigeria’s anti-money laundering and counter-terrorism financing framework, stressing that all regulated institutions are expected to comply with the sanctions immediately.
