The stage may be set for banks begin the ‘naming and shaming’ of customers who engage in foreign exchange (forex) malpractices. This is in line with the directive of the Central Bank of Nigeria (CBN).
In circulars obtained at the weekend, The Nation discovered that banks have concluded the ‘warning’ phase and now ready to begin the full and immediate implementation of the ‘naming and shaming’ of unethical practices in obtaining and return of forex.
Following the ban on forex sale to Bureau de Change (BDC) operators and the designation of banks as sales points by the CBN, there were alarms over malpractices aimed at circumventing the forex sale policy by unscrupulous customers.
Some of the unethical practices include presentation of false travel documents, visas, and the cancellation of flight tickets after purchasing personal travel allowance (PTA) and business travel allowance (BTA).
According to the circulars, defaulting customers who present fraudulent travel credentials or cancel their tickets and fail to refund purchased PTA and BTA within two weeks, as stated in the signed customer declaration form, will have their identities and bank verification numbers (BVNs) published immediately.
The initial directive was to publish such identities online on the banks’ websites, a banking source said the ape bank and the bankers’ committee may scale up the ‘naming and shaming’ to publication in national dailies. The banking industry already has existing policy of publishing forex transactions in national dailies.
“We aim to implement this policy immediately as an organisation that is fully compliant with the Central Bank of Nigeria’s rules and regulations,” one of the banks stated.
An industry-wide template for dollar purchase made available by banks had earlier indicated that retail users can get up to $4,000 as PTA and $5,000 as BTA quarterly where four basic requirements are met
The requirements include that applicant must be 18 years and above, must have a valid Bank Verification Number (BVN), must have a valid Nigerian passport, valid VISA and return ticket and travel date must not be more than 14 days from date of PTA/BTA purchase.
Banks assured that retail users can simply walk into any branch to buy dollars for payment of international school fees, foreign medical bills, SME Form Q transactions and every other qualifying foreign exchange transaction.
“We will treat your foreign exchange requests instantly. This means that you will get your forex the same day in cash and in the case of school fees and medical bills payment, to the stipulated beneficiary offshore,” a bank stated.
Banks stated that for international school fees payment, students can apply themselves, or through their parents, and guardians with valid BVN. Requirements from such applicants include admission letter, payment invoice, first degree certificate in the case of post graduate students and a duly completed Form A.
(The Nation)
