Senate passes bill mandating banks to report deposits above N5m to EFCC

The Senate on Wednesday March 16, handed a invoice to amend the Cash Laundering Act 2011.

The brand new invoice now makes it obligatory for banks and different monetary establishments to report, in writing, to the Particular Management Unit In opposition to Cash Laundering below the Financial and Monetary Crimes Fee, any single transaction or lodgment in extra of N5m for a person and N10m for a company physique.

Whereas part 11(3) of the invoice offers that “any monetary establishment or designated non-financial enterprise and career that contravenes the provisions of this part commits an offence and is liable on conviction to a tremendous of not lower than N250,000 and no more than N1m for every day the contravention continues”, Part 12 of the invoice prohibits the opening of numbered or nameless accounts in fictitious names and shell banks.

Part 13 additional mandates monetary establishments and designated non-financial companies and professions to establish and entry the cash laundering and terrorism financing dangers that will come up in relation to the event of latest merchandise and new enterprise practices.

The invoice additionally states that any individual or monetary establishment that contravenes the provisions of Part 12 subsections (1), (2) and (3), is liable to imprisonment of not lower than 2 years and no more than 5 years within the case of a person; and a tremendous of not lower than N10m however no more than N50m for a monetary establishment, along with the prosecution of the principal officers of the physique, and winding up and prohibition of its structure or incorporation.