The Bank Customers Association of Nigeria (BCAN) has endorsed the Central Bank of Nigeria’s (CBN) decision to impose fines totaling N1.35 billion on nine commercial banks for failing to ensure cash availability in Automated Teller Machines (ATMs) during the festive season.
BCAN President, Dr. Uju Ogubunka, stated during an exclusive interview on Wednesday that the penalized banks deserved the punishment. “The CBN was clear on its stance and had warned the banks as far back as November last year. These penalties are a necessary step to enforce compliance,” Ogubunka said.
The CBN fined Fidelity Bank Plc, First Bank Plc, Keystone Bank Plc, Union Bank Plc, Globus Bank Plc, Providus Bank Plc, Zenith Bank Plc, United Bank for Africa Plc, and Sterling Bank Plc. Each bank was fined N150 million, with the total amount directly debited from their accounts with the apex bank.
Ogubunka praised the CBN for its resolve, describing the fines as a “reward for disobedience.” He added, “We are happy the CBN is imposing penalties. This action reinforces the importance of adhering to regulations and ensures that banks fulfill their responsibilities to customers.”
He dismissed claims by some banks that they lacked access to sufficient cash, suggesting that the CBN would not have penalized them without proper verification. “If the banks had approached the CBN for cash and didn’t receive it, their position would be justified. However, the CBN must have verified that these banks had access to cash and still failed to comply,” Ogubunka explained.
Reports indicate that following the sanctions, the penalized banks promptly loaded their ATMs with cash on Wednesday.
