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CBN threatens banks’ CEOs, chairmen with sack in case of delayed annual results

The Central Bank of Nigeria (CBN) has read fresh riot Act to chief executives and board chairmen of commercial banks warning that any observed delay in the publication of their audited annual results and accounts at the end of the financial year shall be sacked.

The order which came as a directive from the apex bank’s Monetary, Credit, Foreign Trade and Exchange Guidelines for Fiscal Years 2018/2019 released Monday, aligns with the provisions of the Bank and Other Financial Institutions Act (BOFIA) 1991, which require banks to, subject to the written approval of the CBN, publish their audited financial statements-  financial position and comprehensive income- in a national newspaper printed and circulated in Nigeria not later than four months after the end of each financial year.

The directive signed by the CBN Governor, Mr. Godwin Emefiele, said in other to give way for the implementation of consolidated supervision, all banks, discount houses and their subsidiaries shall continue to adopt December 31 as their accounting year end.

The directive read in parts: “The CBN will continue to hold the Board Chairman and Managing Director of a defaulting bank directly responsible for any breach and impose appropriate sanctions, which may include barring the Managing Director or his/her nominee from participation in the Bankers’ Committee and disclosing the reason for such suspension”.