By Peter OBIORA InvestAdvocate

London (INVESTADVOCATE)-The Central Bank of Nigeria (CBN) has directed Banks and other Financial Institutions to have additional Know Your Customer (KYC) requirement in respect of designated Non-Financial Businesses and Professions (DNFBPs).

The CBN in a Circular dated August 02 2012 with reference number FPR/CIR/GEN/VOL.1/028 to Money deposit Banks and other Financial Institutions said Financial Institutions are required, prior to establishing business relationships with Designated Non-Financial Businesses and Professions to obtain evidence of Registration; such as certificate of Registration showing registration number with Special Control Unit on Money Laundering (SCUML) of the Federal Ministry of Trades and Investments.

The Circular signed by Director, Financial Policy and Regulation Department of the CBN, Chris .O. Chukwu reads thus “ Further to our Circular dated January 11 2012, referenced FPR/DIR/CIR/GEN/01/25, Financial Institutions are required, prior to establishing business relationships with Designated Non-Financial Businesses and Professions to obtain evidence of Registration; such as certificate of Registration showing registration number with Special Control Unit on Money Laundering (SCUML) of the Federal Ministry of Trades and Investments” the Circular reads.

According to the Nigeria’s Central Bank, DNFBPS refers to Dealers in Precious Metals and Stones, Cars and Luxury Goods, Audit Firms, tax Consultants, Clearing and Settlement Companies, Lawyers, Notaries and other Independent Legal Practitioners,

Also, on the list are Chartered Accountants, Trust and Company Service Providers; including those that provide services to Third Parties, Hotels, Casinos ( internet and ship based Casinos).

Others include Super Markets, Real Estate Agents, Non-Governmental Organisations, Religious and Charitable Organisations or such other businesses and Professions as the Federal Ministry of Trade and Investments or appropriate Regulatory Authorities may from time to time designate.

The CBN further affirmed that in the above Designated Non-Financial Businesses and Professions, Customers include Sole Practitioners, Partners and employed Professionals within Professional Firms.

“They do not refer to Internal Professionals that are employees of other types businesses or to Professionals working for Government Agencies who may already be subject to AML/CFT measures” the CBN said.

DNFBS, who are existing Financial Institutions Customers are requested to update their Accounts information with the above evidence within six (6) Months from the date of the Circular.

According to the CBN, all Banks and other Financial Institutions are, therefore, by this Circular required to comply.