BCAN Backs CBN’s Penalty On Banks For ATM Cash Shortages
The Bank Customers Association of Nigeria (BCAN) has supported the penalties imposed by the Central Bank of Nigeria (CBN) on banks that failed to ensure cash availability in their ATMs.
The president of BCAN, Dr. Uju Ogubunka, explained this in an interview on Wednesday.
Over nine banks were fined by the CBN a total of ₦1.35 billion for not following cash distribution rules in their ATMs during the festive period. Each bank was fined ₦150 million after inspections revealed they were not complying.
The affected banks are Fidelity Bank, First Bank, Keystone Bank, Union Bank, Globus Bank, Providus Bank, Zenith Bank, United Bank for Africa (UBA), and Sterling Bank. The fines will be taken directly from their accounts with the CBN.
Commenting on the fines, Ogubunka stated, “We know that CBN was serious about what they said because, at the last Bankers’ Dinner, the CBN governor mentioned it; he said that they were not going to tolerate any disobedience to rules and regulations. That they have sanctioned them shows that they are serious.
“The banks that are victims have no one but themselves to blame, for they were forewarned as far as November last year. They deserve it. Maybe they will learn their lessons, and if they don’t, they will fall victim to the next round of penalties.”
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He also added, “We are happy. If the banks have learnt their lessons, they should be able to put money in the ATMs. That does not mean that the point-of-sale terminal operators should not have money, but we have to be sensible about it because they are also a creation of CBN. We have to manage the system, but I’m happy that the CBN has started to impose penalties. It is a reward for disobedience.
The former registrar of the Chartered Institute of Bankers questioned the claims from bankers that they couldn’t get enough cash, saying, “Did they go to the central bank and not get cash? If they didn’t, they can justify their position.
The CBN would know if the banks had come for cash and didn’t get it, in which case it was not their fault, but if the banks gave that as an excuse but it was discovered that CBN had given them cash at different times, then the CBN would know that they were telling lies. CBN would not have penalised any institution without verifying. They cannot penalise you for what you didn’t do.”
However, there are reports that these penalised banks had filled their ATMs with money on Wednesday.
Content Credit| Igbakuma Rita Doom
Picture Credit | https://www.agusto.com/
