EFCC, CAC Begin Nationwide Crackdown On Illegal POS Operators
The Economic and Financial Crimes Commission (EFCC) and the Corporate Affairs Commission (CAC) have launched fresh efforts to go after unregistered Point of Sale operators as authorities intensify measures to tackle fraud within Nigeria’s financial sector.
The move comes amid growing concerns that thousands of POS businesses across the country are operating illegally without proper registration, creating loopholes that criminal elements may be exploiting for fraudulent transactions.
Officials disclosed that a large number of operators currently providing POS services have failed to register their businesses with the Corporate Affairs Commission despite regulations requiring formal registration before operation.
According to authorities, the lack of proper documentation has made it difficult to monitor operators and has created serious security concerns for law enforcement agencies investigating financial crimes.
The CAC said stronger collaboration with the EFCC will help improve compliance while building a reliable database of POS operators for easier monitoring and better regulation of the sector.
The anti-graft agency has also raised concerns that some illegal operators are being used to move suspicious funds connected to cybercrime, money laundering and other fraudulent activities.
EFCC Chairman Ola Olukoyede reportedly warned that unchecked activities within the rapidly growing POS business space could pose serious risks to Nigeria’s financial system if urgent action is not taken.
Authorities revealed that investigations involving several companies previously flagged by the Corporate Affairs Commission are already underway as part of ongoing enforcement efforts.
The partnership between both agencies is expected to focus on intelligence sharing, strict monitoring, public awareness and enforcement against operators running businesses outside legal requirements.
The development signals the beginning of what may become a wider nationwide operation as regulators move to tighten control over one of Nigeria’s fastest-growing financial service sectors.