The Bank Customers Association of Nigeria (BCAN) has supported the Central Bank of Nigeria’s (CBN) decision to fine nine banks for failing to ensure adequate cash availability through their Automated Teller Machines (ATMs). In an exclusive interview with BCAN President, Dr. Uju Ogubunka, he affirmed that the penalties were justified.
The CBN imposed fines totaling N1.35 billion on the affected banks, with each bank being fined N150 million. The sanctions followed spot checks that revealed non-compliance with the CBN’s cash distribution guidelines during the festive season.
The banks penalized include Fidelity Bank Plc, First Bank Plc, Keystone Bank Plc, Union Bank Plc, Globus Bank Plc, Providus Bank Plc, Zenith Bank Plc, United Bank for Africa Plc, and Sterling Bank Plc. The fines will be debited directly from the banks’ accounts with the CBN.
Ogubunka expressed satisfaction with the fines, stating that the CBN had made it clear that it would not tolerate disobedience to its regulations, as highlighted by the CBN governor during the last Bankers’ Dinner.
He also pointed out that the banks had been warned about the need to ensure cash availability since November of the previous year, making them solely responsible for the situation.
He added, “The banks that are victims have no one but themselves to blame. They deserve it. Maybe they will learn their lessons, and if they don’t, they will fall victim to the next round of penalties.”
Ogubunka also addressed the claims from some bankers that they were not receiving enough cash from the CBN, questioning whether they had actually approached the central bank for funds. He emphasized that the CBN would not penalize any bank without verifying their claims.
Reports indicate that the fined banks began loading their ATMs with cash on Wednesday, likely in response to the penalties.
