Wema Bank Fined N61.4m After Breaching 7 Nigerian laws Which Includes Cybersecurity, Fraud And Others

In 2023, WEMA Bank encountered legal issues, leading to penalties totaling N61.350 million throughout the year. This information was disclosed in the bank's financial statement for the full year of 2023. The violations included breaches of seven Nigerian laws, including a cybersecurity law, a section of the BanWema Contraventionsk and Other Financial Institutions Act (BOFIA) 2020, and Circulars issued by the Central Bank of Nigeria (CBN) concerning Know Your Customer (KYC) requirements, among others.

Regarding the cybersecurity framework violation, Wema Bank faced a fine of N2 million. Additionally, the bank was penalized N20 million for contravening Section 19(3A) of BOFIA, 2020. Wema Bank was also required to pay N17.45 million for non-compliance with CBN circulars on KYC. These circulars aimed to combat money laundering and other financial crimes.

The bank incurred another fine of N10 million due to the delayed submission of final returns. The CBN emphasizes the importance of KYC measures in combating financial crimes, stating that having sufficient information about customers and utilizing it effectively is crucial in preventing money laundering and fraud. Such measures not only mitigate the risk of involvement in illicit activities but also safeguard against reputational and financial risks, enabling financial institutions to identify suspicious activities effectively.

Full Details:- https://www.thepressng.com/wema-bank-fined-n61-4m-after-breaching-7-nigerian-laws-which-includes-cybersecurity-fraud-and-others/

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