The Central Bank of Nigeria (CBN) is investigating the bank accounts of 16 companies in the country suspected of violating foreign exchange regulations, New Telegraph learnt yesterday.
A list of the affected companies sighted by this newspaper last night shows that a lot of them are Indian and foreign owned firms.
They include organisations such as Afrab Chem Limited, Multichem Industries Ltd., Far East Merchantile Ltd., Nagode Industries Ltd., Bhojraj Nigeria Ltd. and Amaravo Agro Limited. Others are Shivlula Nigeria Ltd., Deeplast Nigeria Ltd., Givanas Industry Nigeria Ltd., Godrej Nigeria Ltd. and Malok Nigeria Ltd. Also on the list are Vista International Ltd., Budha Logistics Ltd., Mitoch Global Link Ventures, Prima Corporation Ltd. and Regal Chem Nigeria Ltd.
The move comes barely a fortnight after the apex bank directed lenders to place a post-no-debit on the accounts of 38 companies, including some betting firms and Bureaux De Change (BDCs) which are also under investigation over forex infractions.
New Telegraph learnt last night that more firms will soon be placed under investigation by the banking watchdog for suspected FX infractions. A top CBN official said that the apex bank has no problem with anybody accessing FX, but that the regulator and the Federal Government are conscious of terrorist funding and money laundering and are executing a crackdown on these crimes.
“The government has zero tolerance for terrorist funding and money laundering. The CBN is investigating both forex inflow and outflow. Anybody who is suspected of moving money without due process under the law will be investigated. Not that they are guilty, but they are being suspected,” the official said.
As part of measures to conserve the nation’s foreign exchange reserves, which have been impacted by the sharp drop in the price of oil as well as the coronavirus crisis, the apex bank had, in recent months, introduced policies aimed at curbing rising demand for forex on the official market that had impacted negatively on the naira.
For instance, in March this year, the CBN said it was collaborating with the Nigerian Financial Intelligence Unit (NFIU) to uncover currency speculation, adding that any authorised dealer caught engaging in forex speculation would be charged with economic sabotage.
Also, the CBN, in July last year, directed foreign exchange dealers to stop processing ‘Forms M’ for the importation of maize. Similarly, in March 2019, the regulator directed lenders to stop the sale of forex for the importation of textiles and clothing materials into the country.
Equally, in February this year, the apex bank restricted foreign exchange for milk importation to six companies in the country – FrieslandCampina WAPCO Nigeria, Chi Limited, TG Arla Dairy Product limited, Promasidor Nigeria, Nestle Nigeria and Integrated Dairies Limited.
The CBN said that it had engaged the manufacturers because they have keyed into its backward integration to enhance their capacity and improve local milk production.
