“Publish Names, BVN of Forex Defaulter”, CBN Orders Banks

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The Central Bank of Nigeria (CBN) has released another directive to all banks, ordering them  to publish names of customers who try to break the rules on Forex acquisition on their website.

The directive was contained in a circular given by the apex bank on Monday, August 30th with reference number (BSD/DIR/PUB/LAB/14/059) to all banks. CBN noted that it has “received and noted with concern reports of sharp practices by some unscrupulous customers to circumvent the new CBN policy on the sale of forex for overseas personal and business travel”.

The CBN listed some of the unwholesome practices to include the use of fake visas and cancellation of air tickets after purchase of PTA/BTA.

In the circular signed by Haruna B. Mustafa, Director Banking Supervision Department of the CBN, he noted, ‘This trend, if not curbed, portends risk to the integrity and stability of the forex market’.

To curb this threat, he ordered all banks ‘to publish on their websites the names and BVN of defaulting customers who present fake travel documents or cancel their tickets and fail to return the purchased PTA/BTA within two (weeks) as stipulated in the customer declaration form signed by them’.

Before this new development, most banks had written to their customers of their commitment to provide customers with foreign exchange for their Personal and Business Travel as well as payment for overseas Education, Medical and other eligible invisible transactions.

According to the laid down rules and procedure, customers have to follow before they can access forex the bank said are: FX shall be sold for Legitimate Travel Purpose Only. Bank customers are required to provide a valid Nigerian passport and a valid visa to an international destination.

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Only valid travel documents like tickets to an international destination outside of West Africa and Cameroon will be accepted.

The international return ticket must have a travel date not more than 14 days from the date of PTA/BTA purchase.

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