.Directs OTC payment of new banknotes by banks
The Central Bank of Nigeria (CBN) has warned against the sale and abuse of the new Naira notes especially at social functions, as offenders may be prosecuted.
This is even as the apex bank authorised deposit money banks (DMBs) to resume dispensing the redesigned banknotes over the counter (OTC), to decongest the long queues being witnessed at Automated Teller Machines (ATMs) across the country.
In a new directive issued yesterday on the circulation of the new banknotes, the CBN expressed “grave concerns over the activities of persons who sell the newly redesigned banknotes and those who flagrantly abuse the legal tender by hurling wads of Naira notes in the air and stamping on the currency at social functions.”
The Director, Corporate Communications, Osita Nwanisobi, in a statement, reiterated that “contrary to the practice of these unpatriotic persons, it is unlawful to sell the Naira, hurl (spray), or stamp on the currency under any circumstance whatsoever.”
He continued: “For the avoidance of doubt, Section 21(3) of the Central Bank of Nigeria Act 2007 (As amended) stipulates that ‘spraying of, dancing or matching on the Naira or any note issued by the Bank during social occasions or otherwise howsoever shall constitute an abuse and defacing of the Naira or such note and shall be punishable under the law by fines or imprisonment or both.’
“Similarly, Section 21(4) states that ‘It shall also be an offence punishable under Sub-section (1) of this section for any person to hawk, sell or otherwise trade in the Naira notes, coins or any other note issued by the Bank’.”
Accordingly, the CBN said it is collaborating with the Nigeria Police, Federal Inland Revenue Service (FIRS), the Economic and Financial Crimes Commission (EFCC), and the Nigerian Financial Intelligence Unit (NFIU) to address the unpatriotic practice.
Section 21(4) states that ‘It shall also be an offence punishable under Sub-section (1) of this section for any person to hawk, sell or otherwise trade in the Naira notes, coins or any other note issued by the Bank.
ATM queues
Regarding the long queues, the CBN equally expressed disappointment in the upward trend in the cases of people stocking and aggregating the newly introduced banknotes they serially obtain from ATMs for reasons best known to them.
“Also worrisome are the reported cases of unregistered persons and non-bank officials swapping banknotes for members of the public, purportedly on behalf of the CBN.”
It also reassured Nigerians of the effective distribution of the newly introduced Naira banknotes, and urged them to exercise patience as the CBN is working assiduously to address the challenge of queues at ATMs.
“In line with this resolve, the CBN Governor, Mr. Godwin Emefiele, has directed deposit money banks (DMBs) to commence the payment of the redesigned Naira notes over the counter, subject to a maximum daily pay-out limit of N20,000,” the apex bank said.
It also admonished members of the public to embrace and adopt other payment channels for their transactions.
