September 5, 2018

By InvestAdvocate

Lagos (INVESTADVOCATE)-Citibank Nigeria Limited (Citi) said on Wednesday it has sent a detailed response to the Central Bank of Nigeria (CBN) in relation to sanctions imposed on it on alleged breaches of foreign exchange regulations regarding remittances done on behalf of a customer, MTN Nigeria Communications Limited

“Citibank Nigeria Limited (Citi) recently received a letter from the Central Bank of Nigeria (CBN) imposing sanctions on Citi for alleged breaches of foreign exchange regulations in respect of foreign exchange remittances done on behalf of a customer, MTN Nigeria Communications Limited. Citibank Nigeria Limited has sent a detailed response to the CBN addressing the serious allegations made in the CBN letter.

“Citibank Nigeria Limited remains committed to complying with all extant foreign exchange rules and regulations of the Federal Republic of Nigeria,” a statement by Lola Oyeka, Country Public Affairs Officer Nigeria and Ghana said.

Late August, the CBN fined four banks N5.87 billion for violation of its capital importation policy.

According to the CBN, the affected lenders were asked to refund $8,13 billion for what it described as ‘flagrant violation of extant laws and regulations of the country, including the Foreign Exchange (Monitoring and Miscellaneous Provisions) Act, 1995 of the Federal Republic of Nigeria and the Foreign Exchange Manual, 2006’.

A certificate of capital importation (“CCI”) is a certificate issued by a Nigerian bank confirming an inflow of foreign capital either in the form of cash (loan or equity) or goods. A CCI is usually issued in the name of the investor within 24- 48 hours of the inflow of the capital into Nigeria in line with CBN’s guidlines.

The four banks affected are Standard Chartered Bank, Stanbic-IBTC, Citibank, and Diamond Bank.