Regulatory Alerts2012-07-05 | CFP/DIR/GDL/01/018Exposure Draft of the Guide to Bank Charges
The Trade & Exchange Department informs authorized dealers that as of July 9th, 2012, funds obtained from the CBN's WDAS must be utilized within two working days. Failing compliance, penalties include refunding the amount with a 5% interest (LIBOR+5%), payment of a monetary fine per BOFIA 1991 (as amended), and other appropriate penalties. This circular replaces the previous one dated December 29th, 2010, in reference to utilizing funds purchased from CBN's WDAS window.
TRADE & EXCHANGE DEPARTMENT 09 46237804 09 46237809 E-mail address:ted@cenbank.org Tel .........
Fax :...
TED/FEM/FPC/GEN/01/016 July 05, 2012 To: ALL AUTHORISED DEALERS UTILIZATION OF FUNDS PURCHASED FROM CBN (WDAS) WINDOW In order to enhance transparency and efficiency in the use of WDAS funds, Authorised Dealers are hereby informed of the following guidelines for noting and compliance.
With effect from Monday, July 09, 2012 funds sourced from the WDAS shall be utilized within two (2) working days.
Any unutilized funds after the two working days from the date of settlement shall be refunded to the CBN for repurchase at the prevailing rate or the rate the funds were purchased whichever is lower.
Authorized Dealers are required to ensure compliance failing which the following sanctions shall apply: a. The refund of the amount to the CBN with interest at LIBOR+5%; b. Payment of monetary fine in accordance with the provisions of BOFIA 1991 (as amended); and c. Any other appropriate penalty.
This circular supersedes the provisions of paragraph 13 of the one Ref No.
FMD/FED/CIR/GEN/01/082/10 dated December 29, 2010 on the subject.
BATARI MUSA DIRECTOR TRADE AND EXCHANGE DEPARTMENT