EFCC, CAC to go after unregistered POS operators

The Economic and Financial Crimes Commission (EFCC) and the Corporate Affairs Commission (CAC) have expressed concern over the risks posed to businesses and national security due to the activities of unregistered Point of Sale (POS) operators.

These concerns were expressed in Abuja on Thursday when the Chairman of the CAC Council, Senator Ibrahim Adah paid a courtesy call on the Executive Chairman of the EFCC, Mr Ola Olukoyede at the corporate headquarters of the Commission.

Idah, who came with some CAC management staff, sought the support of the EFCC in enforcing compliance among POS operators nationwide, and disclosed that, “currently, only about 20% of POS operators are registered with the CAC, a situation that is inconsistent with the Companies and Allied Matters Act, CAMA 2020, and the Central Bank of Nigeria Banking Agent Regulations 2026, which require that all businesses operating under a business name must be properly registered.

“Furthermore, Mr. Chairman, we seek closer cooperation in developing a reliable database of POS operators for use by the EFCC and other law enforcement agencies.”

He warned that increasing evidence suggests that criminal proceeds, including ransom payments linked to kidnapping cases, are sometimes channeled through POS terminals.

Idah also said that his visit was aimed at engaging public institutions that maintain close working relations with his Commission and commended the EFCC for its role in fighting economic and financial crimes.

He emphasized that the two institutions have interconnected mandates, explaining that while the CAC registers and regulates companies in Nigeria, the EFCC investigates and prosecutes financial crimes.

Condemning the misuse of some corporate entities for fraudulent activities, he emphasized that, “When companies are misused for fraud or money laundering, the mandate of both agencies will be directly impacted. Therefore, neither of the two agencies can fight and win the war against economic and financial abuses, especially those committed through corporate entities, if we work alone.

According to him, stronger synergy between the two institutions requires a focus on sharing data and intelligence regarding companies that commit fraud, sensitizing the public to financial risks, and increasing staff capacity. He, therefore, expressed CAC’s commitment to partner with the EFCC to deepen corporate compliance and protect the financial system.

“The CAC Board is fully committed to this partnership. We see the EFCC as a serious and strategic partner in efforts to deepen corporate compliance, promote transparency and safeguard the integrity of the Nigerian financial system,” he said.

In response, Olukoyede also expressed concern for POS operators, and described their activities as a major challenge to the country’s financial system, adding that, “if you do not regulate the activities of these key players, you will face major problems and challenges in your financial ecosystem.” He reaffirmed the Commission’s commitment to working with the CAC in combating economic crime and promoting regulatory compliance.

The EFCC boss described the CAC as “the gateway to economic growth in Nigeria because the first point of contact for foreign investors in Nigeria is the Corporate Affairs Commission.” He disclosed that the EFCC had set up a special desk to deal with matters involving the CAC and disclosed that the ongoing investigations involving about 200 companies had yielded significant results.

“In fact, I think we have about 200 companies that you forwarded us a list of that we are investigating and we have made reasonable progress in those investigations. We have made very interesting findings, which will be helpful to you when you get those reports. We will continue to work together to ensure regulatory compliance at some of the companies that you regulate.”

He noted that most of the public corruption cases investigated by the EFCC involved procurement and contract fraud carried out through companies regulated by the CAC.

He also emphasized the need for the two institutions to overcome internal deficits and strengthen internal accountability.

Regarding data sharing and intelligence exchange, Olukoede directed officials of both agencies to review and update the existing Memorandum of Understanding to reflect current realities, especially in the areas of beneficial ownership information and data protection.