The Central Bank of Nigeria
, CBN, has said that it will not fail to wield the big stick on any chairman of
bank who fails to publish its financial statements within the regulatory period.
This was contained in the
Monetary, Credit, Foreign Trade and Exchange Policy Guidelines for the
2016/2017 fiscal year released by the apex bank, yesterday.
According to the CBN, all
banks must publish their financial statements latest four months after their
financial year or risk severe sanction, including removal of the chief
executive officer and the chairman.
The CBN stated: “In
accordance with BOFIA 2010 LFN, banks are required, subject to the written
approval of the CBN, to publish not later than four months after the end of
each financial year, their audited financial statements (statement of financial
position and statement of comprehensive income) in a national newspaper printed
and circulated in Nigeria.
“To facilitate the
implementation of consolidated supervision, all banks, discount houses and
their subsidiaries shall continue to adopt December 31, as their accounting
year-end.
“The CBN shall continue to hold the Board Chairman
and Managing Director (MD) of a defaulting bank directly responsible for any
breach and impose appropriate sanctions which may include the following;
Barring the MD or his/her
nominee from participation in the Bankers’ Committee and disclosing the reason
for such suspension; suspension of the foreign exchange dealership licence of
the bank and its name sent to the Nigerian Stock Exchange (in the case of a
public quoted company); and removal of the chairman and managing director from
office if the accounts remain unpublished for 12 months after the end of the
bank’s financial year.” The statement read
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