By Yakubu LAAH InvestAdvocate
Lagos (INVESTADVOCATE)-The Central Bank of Nigeria (CBN) has said that Money Laundering offenders will risk not less than two (2) years jail term or forfeiture of cash.
This is contained in a circular with reference number FPR/DIR/CIR/GEN/03/004 dated June 26 2013 and signed by Y.B Duniya, Acting Director, Financial Policy and Regulation Department of the CBN to all banks and other financial institutions.
According to the CBN, Section 2 (3) of the Money Laundering Prohibition Act (MLPA), 2011 as amended provides that transportation of cash or negotiable instruments in excess of US$10,000 or its equivalent by individuals in or out of the country shall be declared to the Nigerian Customs Service (NCS).
The affirmed while Section 2 (5) provides that any person who falsely declares or fails to make a declaration to the NCS pursuant to Section 12 of Foreign Exchange (Monitoring and Miscellaneous Provisions), Act, Cap . F34, LFN, 2004 is guilty of an offence and shall be liable on conviction to forfeit the undeclared fund or negotiable instrument or to an imprisonment of not less than two (2) years or both.
“The Act under reference further requires the NCS to forward such declaration made to both the CBN and Economic and Financial Crime Commission (EFCC).†The Circular said.
The CBN further affirmed that Section 2 (5) of the Act specifically states that false declaration or failure to make a declaration to the NCS is an offence, “it should also be noted that forfeiture of the undeclared funds or negotiable instrument occurs upon conviction.
The CBN said the import of the provision is that it is mandatory for only the holders of cash or negotiable instrument in excess of US$10,000 to declare such funds or their equivalent to the NCS.
“It is the false declaration or failure to make such declaration to the NCS that attracts prosecution and subsequent sanction of forfeiture of undeclared funds or negotiable instruments upon conviction.†The CBN affirmed.
Nigeria’s central bank said the provisions in question do not imply, in any manner that genuinely owned or obtained funds or negotiable instruments in excess of US$10,000 or its equivalent cannot be brought into Nigeria or taken outside the country.
