UBA publishes names of forex defaulters

The United Bank of Africa (UBA) released the names of customers who the bank said received foreign currency under a false pretense and have since refused to return the money.

The three names released on the bank’s website followed a directive from the central bank for banks to release the names of forex defaulters as part of its efforts to crack down on arbitrage that helped push the value of the naira to an all-time high on official and parallel markets.

The Central Bank of Nigeria said on August 31 that the directive was prompted by reports of brutal practices by some unscrupulous clients to circumvent its new policy on the sale of foreign currency for personal and business travel abroad. .

According to a circular sent to all banks on Tuesday and signed by Haruna Mustafa, director of the bank‘s banking supervision department, the fraudulent practices include the use of fake visas and the cancellation of plane tickets after the purchase of a personal travel allowance and a business travel allowance.

“This trend, if not curbed, portends a risk to the integrity and stability of the foreign exchange market,” CBN said.

“Consequently, following the various measures already in place, all banks are invited to publish on their websites the names and BVN of defaulting customers who present false travel documents or cancel their tickets and do not return the PTA / BTA. purchased within two (weeks) as stipulated in the customer declaration form signed by them.

In July, the bank apex ended sales of foreign currency to Bureau De Change operators, claiming that the parallel market had become a conduit for illicit currency flows and corruption, he then directed all foreign exchange transactions to commercial banks.

UBA said two of the names it posted canceled their trip and failed to return the PTA they were granted despite several follow-up emails, texts and phone calls.

The third client “” presented a fake visa to apply for a PTA, “he said.