Regulatory Alerts2011-02-08 | BPS/DIR/CIR/GEN/02/003PENALTY FOR NON COMPLIANCE WITH CBN CIRCULARS AND GUIDELINES ON ATM OPERATIONS IN NIGERIA
The Central Bank of Nigeria has introduced penalties for non-compliance with its circulars and guidelines on ATM operations in the country. These include a N50,000 fine per week for non-compliance with Payment Card Industry Data Security Standards (PCIDSS) until full compliance is achieved. Other penalties involve fines of N50,000 per day or week for various offences such as non-functional help desk contacts, lack of online monitoring mechanisms and back-up power, absence of cameras on ATMs, late submission of data on ATM frauds, etc. The introduced sanctions also include non-monetary measures like naming the offenders at Bankers' Committee forum, suspending them from participating in clearing operations, or RTGS operations until compliance is corrected. The penalties are immediately enforceable and are intended to bring order into the market by ensuring full compliance with CBN directives and policies on ATM operations.