TSA: CBN Imposes N4bn Fines On Skye Bank

Posted by African Examiner Banking & Finance, Business News, Latest Headlines Tuesday, November 10th, 2015

BALTIMORE, MD (AFRICAN EXAMINER) – The Central Bank of Nigeria has imposed a N4 billion fine on Skye Bank Plc for failing to render appropriate returns on accounts of some government institutions and agencies.

This is contained in a statement by Skye Bank to the Nigerian Stock Exchange.

The bank said the fine imposed by the apex bank was misdirected since it did not conceal any information of the accounts from the central bank.

Skye Bank said that a significant portion of the money for which penalty was applied belonged to the state-owned energy company, Nigeria National Petroleum Corporation’s Pension Funds and National Assembly Legislative Aides’ account balances.

Skye Bank said it received “a communication from the NNPC forwarding a letter from the Accountant General of the Federation on the treatment of NNPC funds”.

“By the communication, the bank is advised that an 18 business day window had been granted by the Vice-President, Yemi Osinbajo, within which a plan for the orderly withdrawal of the NNPC funds will be implemented,” the bank said.

The statement said Skye Bank had commenced engagement with the CBN to bring the issues to the attention of the banking sector regulator. The bank said it was also seeking a review of the penalty.

The CBN recently sanctioned First Bank N1.87 billion for refusal to remit about N37.55 billion belonging to the state-owned energy company.

It also fined UBA N2.94 billion for concealing a portion of the energy corporation’s fund totalling N58.84 billion.

UBA was sanctioned for also refusing to remit the deposit of the energy firm into the TSA as at when directed.

(NAN)