‘Why CBN orders banks to freeze Baba Ijebu, 37 other firms accounts’

The Central Bank of Nigeria (CBN) has directed commercial banks to enforce a Post-No-Debit (PND) on all bank accounts of Premier Lotto, and 37other companies over forex infractions.

A Post no debit order is a situation where all transactions are banned on an account, preventing money from going out of the bank account.

The apex bank made this disclosure in a letter made available to newsmen, accusing affected firms such asPremier Lotto owned by Adebutu Kessington, popularly known as “Baba Ijebu” of forex infractions, moving forex abroad without the required authorisation, and “economic sabotage”.

The central bank’s memo signed by Director of Banking Supervision, Bello Hassan stated, “You are hereby required to place the under listed accounts on post-no-debit with immediate effect and revert with the account names, numbers, currencies, and balances of all accounts placed on PND”.

A post-no-debit means that all debit transactions, including ATMs and cheques, on the accounts, have been blocked but money can be deposited into the accounts.

Some of the other affected companies are 3D Scanners Bureau De Change Limited, Blue Wall Nigeria Limited, JNFX International Limited, and Northline Limited.

Others are SV Gaming Limited, R&S Lotto Limited, TM Gaming Networks Limited, Escale Oil and Gas Limited, Barkoli Trading Company Limited, Godoni Enterprises Limited.

The apex bank said only the listed companies should be placed on PND adding that all related accounts be excluded.

CBN’s directive comes before the resumption of forex sales to BDCs by the Central bank on Monday, 7 September, in doing this the CBN plans to reduce the demand for FX in the BDC market.

Meanwhile the CBN has commenced forex sales to BDCs on Monday, 7 September, so as to reduce the demand for FX in the black market.