CBN Cautions Banks, Others over Rendition of Returns

The Central Bank of Nigeria (CBN) may soon wield the big stick on the deposit money banks and discount houses, which persist in flouting the timelines for rendition of statutory returns through the prescribed information technology.

In a circular signed by Mrs. Tokunbo Martins, director of Banking Supervision, said the apex bank has now begun enforcement, with appropriate sanctions scripted and to be “promptly” administered for defaulting banks.

The move, according to her, may have become necessary as the bank earlier allowed time for the lenders to become familiar with the solution, but some have relapsed to the point of not using the application, while others miss the targeted timeline.

The timeline for the renditions of returns were scheduled to run daily, monthly, quarterly and semi-annual, throught the application known as e-FASS and FinA, with the daily being turned in by 10am of next working day and others on fifth day of the new month.

The circular reads: “Subsequent to the ‘Go-Live’ of the FinA Regulatory Reporting Application in December 2013, all banks and discount houses have been required to submit Daily, Monthly, Quarterly and Semi-Annual returns concurrently via the e-FASS and FinA Applications.

“In consideration of the need to enable reporting institutions become familiar with the new Application (FinA), the deadlines for submission of returns were not strictly enforced. It is also observed that some institutions do not even render their returns through FinA.

“Consequently, it has become necessary to remind all banks and discount houses about the timelines for the rendition of statutory returns through eFASS and FinA, shall henceforth, be strictly enforced: Daily returns to be submitted on or before 10.00 a.m. of the following working day; and Monthly, Quarterly and Semi-Annual returns to be submitted on or before the 5th day after the month end.  

“Where the fifth day happens to be weekend or public holiday, returns should be submitted the previous day.

“This letter takes immediate effect and all reporting institutions are hereby requested to note the above timelines as any future breach shall be promptly met with the applicable sanctions.”