By InvestAdvocate
Lagos (INVESTADVOCATE)-The Central Bank of Nigeria (CBN) said on Monday if will sanction Banks participating in the disbursement of the N213 billion Nigeria Electricity Market Stabilisation Facility, called power sector intervention fund.
This is contained in a circular with reference number FPR/DIR/GEN/CIR/06/003, dated September 1, 2016, and signed by Kevin Amugo, the director, Financial Policy and Regulation, CBN.
According to the CBN, For various offences that may be committed by the Banks participating in the CBN-NEMSF programme, the sanctions range from a penalty of N0.5 million to N10 million fine and/or termination of the DMB’s participation as a Mandate Bank.
The infractions listed on the circular include: failure by the DMB to provide statement of accounts maintained by the electricity distribution companies to the refinancer/administrator; allowing revenue to be paid into a bank accounts different from the Feeder Collection Accounts; and allowing withdrawals or debits from the Feeder Collection Account by a non-Principal Collection Account.
