Central Bank of Nigeria Mandates Registration of All PoS Operators with CAC

In a bid to tackle fraudulent activities and bolster transparency within the financial sector, the Central Bank of Nigeria (CBN) has issued a directive requiring all point-of-sale (PoS) operators to register with the Corporate Affairs Commission (CAC) within a two-month timeframe. According to reports, PoS terminals have been implicated in a significant portion of fraud incidents, accounting for a staggering 26.37% of such cases in 2023 alone. This move by the CBN seeks to address these concerns and ensure the integrity of transactions conducted through PoS systems. With Nigeria boasting 1.8 million PoS agents as of 2022, the directive mandates that all operators must undergo registration with the CAC to continue conducting business in the country. The announcement came following a meeting between representatives from the fintech industry and Hussaini Magaji (SAN), the Registrar-General/Chief Executive Officer of the CAC, held in Abuja on Monday, May 7th. Magaji emphasized that the registration deadline of July 7th is in accordance with legal obligations and aligns with the directives of the CBN. “The Corporate Affairs Commission and Fintech companies in Nigeria, better known as PoS operators, have agreed to a two-month timeline to register their agents, merchants, and individuals with the CAC in line with legal requirements and the directives of the Central Bank of Nigeria,” stated Magaji. The collaborative effort between the CAC and fintech companies underscores the commitment to regulatory compliance and the promotion of a secure financial ecosystem in Nigeria.

Content Creators Who Refuse To Pay Tax Will Be Penalized – CAC

The Corporate Affairs Commission has warned that skit makers social media influencers, Instagram, and TikTok users with large followings who refuse to pay tax risk being penalized. The Registrar General, CAC, Hussaini Magaji, revealed this on Tuesday, when he was paid a courtesy visit by the Managing Director, Opay, Dauda Gotring, and his team in Abuja. Recall that the Federal Inland Revenue Services on Monday revealed that social media influencers and skit makers are exempted from paying tax as they do not fall within the purview of the FIRS. But the CAC boss said that social media and content creators are generating a lot of money without paying any form of tax to the Federal Government. Magaji said, “Ignorance of the law is not an excuse. It is stated in the Company and Allied Matters 2020 that for any business to take place in Nigeria, whether you are doing business with your name or another name, you must surrender your business for registration. ” If you are a content creator on the internet and you have a large followership and you are gaining or making money from it, you must register and that’s the provision of the law.   “And we are all out to enforce the provision of the law with its penalties.” He added that the commission will soon begin compliance checks to ensure these businesses start paying their taxes to the government.   He added, “This cannot go on, these groups of people are under mandate to register as a business considering the amount they make from the content creation. The government is all out to ensure every business in Nigeria, no matter what or how, is registered with the CAC.

Appear in 24 Hours: Senate orders Registrar General of the CAC

The Senate Committee on Finance has ordered Ishaq Hussain Magaji (SAN), the Registrar General of the Corporate Affairs Commission (CAC), to appear before it in 24 hours. The Senator Sani Musa led Committee expressed deep frustration at the failure of Lawal to honor their invitation for the third consecutive time. The primary reason for Lawal’s appearance, according to the chairman, was to provide explanations regarding discrepancies discovered in the Commission’s 2024 budget, a matter that raised concerns among committee members. Despite multiple invitations sent to the CAC boss, Lawal remained absent, prompting outrage among senators. Senator Musa expressed disappointment, highlighting the significance of Lawal’s presence, especially in light of the financial irregularities found within the Commission’s financial records. Several senior officials from the Corporate Affairs Commission, present at the hearing, were unable to provide convincing reasons for Lawal’s absence, further aggravating the Committee members. Senator Bello Mandiya, representing Katsina South Senatorial District, strongly criticized Lawal’s non-appearance, drawing a parallel between the absence of the CAC’s Registrar General and the willingness of even the President to appear before such committees. The Committee, in reaction to the repeated absence of the Registrar General, deliberated on potential punitive actions. Senator Abdul Ningi emphasized the necessity of Lawal’s presence, urging the CAC officials not to shield him from accountability. Ningi stressed the importance of understanding the financial discrepancies and clarified that the responsibility of explanation rested with the Registrar General. Senator Musa, invoking Section 89(2), mandated the Inspector General of Police to ensure Lawal’s appearance before the Senate Committee on Finance within the stipulated 24-hour timeframe. The Committee reiterated the seriousness of the matter, emphasizing Lawal’s role as the custodian of the Corporate Affairs Commission’s financial affairs and the need for accountability in light of the detected irregularities. The outcome of this directive remains to be seen, as the Senate Committee on Finance continues its efforts to address the financial discrepancies within the Corporate Affairs Commission, placing significant pressure on Garba Lawal to provide the necessary explanations.

CAC Exposes 189 Fake Companies Involved FCT Land Allocation Scam

The Corporate Affairs Commission (CAC) has sounded the alarm about a disturbing surge in counterfeit companies operating within the country. Their concerns were heightened when they revealed the discovery of 189 fake companies that had been exploiting their status to obtain land allocations in the Federal Capital Territory (FCT), Abuja. During a press briefing held on Tuesday, the Registrar General of the CAC, Hussaini Magaji, unveiled these shocking findings.  The investigation was initiated following a complaint from the Federal Capital Territory Administration (FCTA) regarding a dubious company seeking land allocation. Magaji delved into the details, explaining that the exposure of the non-existent company prompted an extensive inquiry. This, in turn, led to the identification of several other fraudulent entities operating for the same nefarious purpose. Two suspects, including a lawyer, have been apprehended in connection with this fraudulent activity.  The investigation further revealed the existence of a cartel comprising individuals from the Abuja Geographical Information System, lawyers, and even some within the commission itself. Magaji emphasized the gravity of the situation, stating, “Let me use this opportunity to inform the public that one of the major milestones achieved so far since I assumed office is our ability to bust a cartel or a network of individuals that are causing havoc for the commission.  This cartel collaborates with certain lawyers who falsely claim to be accredited agents of the commission and conspires with staff from the Abuja Geographical Information System to secure land allocations in the FCT. We only became aware of this criminal activity after a complaint from the Federal Capital Territory Administration prompted us to verify some applications made by these entities, which, shockingly, were non-existent within our system.”