Reminding Point of Sale (PoS) operators across Nigeria that the time for obligatory business registration formally expired on September 5, 2024, is a call that the Corporate Affairs Commission (CAC) has underlined.
The CAC expressed concern about the poor percentage of compliance with the registration mandate in a public notice that was released on Friday and available to BrandSpur business and economy news desk.
The commission raised worries about the possibility of illicit activity within the unregistered portion of the PoS operator community by implying that those who have not yet registered might be involved in “unwholesome activities.”
This warning is given in the midst of legal challenges brought by fintech companies affiliated with the Association of Mobile Money and Bank Agents in Nigeria (AMMBAN), who contend that the requirement for mandatory registration is illegal.
The CAC expressed alarm about the shockingly low level of compliance, even in light of the country’s growing PoS operator population. The CAC has stated that it is closely collaborating with law enforcement organisations and other pertinent stakeholders to execute the regulation and make sure that all PoS operators abide by the necessary registration requirement.
The commission issued a warning, threatening to shut down operations and take legal action against noncompliant operators.
The text of the public announcement says: “The Corporate Affairs Commission wishes to remind the general public particularly Fintech operators also known as Point of Sale (POS) operators, that the 60-day deadline given in daily newspaper publications of July 7 2024, for the registration of such businesses expired on September 5, 2024.
“The Commission notes inadequate compliance with the directive for formalization when viewed from the background of the large number of POS operators in the country,” it added.
The commission applauded the constructive attitudes of those who have taken action to formalise in accordance with the Commission’s order.
Continuing: “Recalcitrant operators have refused to adhere to the advice for formalization due possibly, to engagements in unwholesome activities or for some reasons best known to them.
“We are to make it clear that the Commission is working with Law Enforcement Agencies and other relevant stakeholders to deploy comprehensive enforcement and sanction framework that may include not only possible shutdown but other severe legal Consequences,” the commission added.
