CBN slams N464m fine on Stanbic IBTC for contravention of extant forex regulations

The Central Bank of Nigeria and the Securities and Exchange Commission have sanctioned fined Stanbic IBTC Holdings Plc and four other financial institutions for committing over 20 various infractions, including the violation of foreign exchange market and anti-money laundering regulations.

The five lenders reported a combined fine of N1.46bn, according to the half-year 2021 financial results filed with the Securities and Exchange Commission.

In line with regulatory rules, banks are required to include sanctions and fine imposed on them by regulatory agencies in their audited financial reports.

The CBN and SEC imposed the sum of N233m on Stanbic IBTC Holdings in the period under the review, according to the filing.

The lender was fined N230m for an alleged contravention of extant forex regulations from January 2013 to July 2020.

It was also fined N1m for administrative infractions in the Retirement Savings Account transfer during the fourth quarter of 2020.

Stanbic IBTC, in its audited half-year ended June 30, 2021 results, said, “Penalty imposed by the CBN following an alleged unfair termination of employment of former employee: The CBN imposed a penalty of N2m on the bank following an alleged unfair termination of employment of a former employee, whose employment was terminated for being unable to meet the performance criteria required to confirm his employment in line with policy.”