A few of Nigeria’s most prominent bankers are about to face charges from the Economic and Financial Crimes Commission (EFCC) for their roles in money laundering and other financial offences.
The EFCC Chairman, Olanipekun Olukoyede, revealed the development on Tuesday, September 10, at the 17th Annual Banking and Finance Conference, which was hosted in Abuja by the Chartered Institute of Bankers of Nigeria (CIBN).
Olukoyede disclosed that the Commission is prepared to proceed with prosecutions after concluding its enquiries into the operations of specific banks and their senior executives.
“It is sad that we have also compiled our documents, we have made the necessary investigation. Now very soon, you will see some banks being prosecuted, some top officials being prosecuted,” the EFCC chairman stated.
He stressed that to connect the Nigerian financial system with global best standards, harsh steps must be taken to penalise individuals responsible for criminal violations.
“We need to just do something drastic to bring everybody in line and to make us do the right thing. It’s extremely important. In a system where there is no penal sanction for criminal infraction, that system will never survive,” Olukoyede stated.
The EFCC Chairman cited many malpractices inside the sector, including foreign exchange manipulation, bogus charges levied on depositors, and cooperation in money laundering operations.
He also said that certain financial institutions work with politically exposed persons (PEPs) in illegal financial transactions, which compromises the integrity of the industry and hurts the country’s economy.
Olukoyede reaffirmed the organization’s dedication to working with the banking industry in order to combat financial crimes.
He said the EFCC would keep up its enforcement of anti-money laundering legislation and defence of the financial system against external and internal cybercriminals.
“We are committed to working with the Institute in sanitizing the financial services sector through robust enforcement of the anti-money laundering laws and insulating it from attacks by cybercriminals both from within and from without,” Olukoyede added.
In addition, he emphasised the significance of criminal penalties for offences committed in the financial services industry and stated that the EFCC will no longer put up with complacency.
“So inasmuch as we are ready to work with you to sanitize the system, we must also note that it is extremely important that when there is a criminal infraction, penal sanctions will follow. I am able to tell you with every sense of humility that we will no longer fold our arms.”
Olukoyede encouraged the CIBN to bolster its regulatory control in order to guarantee adherence to banking standards when speaking to the organization’s members. He voiced concerns about the frequent involvement of banking experts in financial crimes, pointing out that certain operators break the law and use unscrupulous tactics to improve their bottom line.
“Where operators prioritize profit over national growth and wellbeing, progress will remain elusive. From our experience with the investigation of financial crimes involving members of the profession, there is gross contempt for regulation that borders on impunity.
“Operators frequently devise means to circumvent regulations and rules in a desperate bid for higher yields and bottom line. Sharp practices such as forex trading, defrauding of depositors through phantom charges, and complicity in money laundering and illicit financial schemes involving politically exposed persons continue to undermine the integrity of the sector and, by extension, the nation’s economy,” Olukoyede disclosed.
Mr. Olukoyede urged the banking industry to uphold professionalism and moral behaviour, noting that these principles are essential to the expansion and advancement of Nigeria’s economy.
“It is my hope, therefore, that you will all look at yourselves in the mirror and leave this place with a renewed commitment to professionalism and determination to provide services that will assist the growth and development of the Nigerian economy,” he warned.
