The Central Bank of Nigeria (CBN) through its Financial Services Regulation Coordinating has advised Nigerians to stop dealing with unlicensed or illegal financial operators in the country.
The CBN through its agency, the FSRCC gave this advice in a statement posted on the site on Monday, 4th April 2022, when it stated that the illegal financial operators lure and defraud unsuspecting members of the public by offering extraordinary returns on investment as temptation.
The FSRCC also described the increasing activities of the Illegal Financial Operators (IFOs) as being worrisome, saying it portends a grave risk to public confidence and the stability of the Nigerian financial system.
What the FSRCC is saying
The FSRCC advised the public in its statement that, “the general public is advised to refrain from dealing with unlicensed or illegal financial operators, who lure and defraud unsuspecting members of the public by offering extraordinary returns on investments as a bait.”
The FSRCC therefore advised the members of the public to visit the websites of CBN and other regulatory agencies, that, “Members of the public are advised to visit the websites of the Central Bank of Nigeria (CBN), Securities and Exchange Commission (SEC), and other relevant member agencies of the FSRCC to investigate them before investing in them.”
It also advised the public to report any individual or entities suspected to be involved in such nefarious activities to the law enforcement agencies.
The FSRCC agent also assured that the financial regulatory agencies shall continue to carry out all necessary due diligence before registering or licensing any operator under their regulatory purview.
In addition, the FSRCC included that the agencies shall refer to relevant supervisory authorities for confirmation before finalizing on any registration/licensing application. It also urged the general public to address further enquiries to the Director, Financial Policy and Regulation, Central Bank of Nigeria and/or the Executive Commissioner, Legal and Enforcement, Securities and Exchange Commission (SEC).
