CAC Accuses Banks of Aiding Non-Compliant Firms, Uncovers 248 Fictitious Companies in Anti-Corruption Crackdown

The Corporate Affairs Commission (CAC) in Nigeria has accused banks of aiding non-compliant firms by weakening Nigeria's anti-corruption regulatory compliance framework. During an anti-corruption panel discussion in Abuja, CAC Registrar General, Hussaini Magaji, disclosed the uncovering of 248 fictitious companies registered illegally.

The CAC also revealed that three staff members were involved in corrupt practices related to unauthorized tampering with company records. Magaji emphasized the vulnerability of Nigeria's corporate regulatory system due to uneven enforcement of compliance rules across institutions.

The CAC flagged inactive companies and warned that financial institutions, particularly banks, continue to open accounts and transact with non-compliant companies, contributing to the weak compliance chain. The CAC called for essential reforms to strengthen Nigeria's anti-corruption efforts and improve transparency.

The ICPC Chairman, Musa Adamu Aliyu, highlighted the critical role of transparency in national development and emphasized the need for collaboration to combat corruption effectively.