The Economic and Financial Crimes Commission (EFCC) and the Corporate Affairs Commission (CAC) have announced a joint crackdown on unregistered Point of Sale (POS) operators across Nigeria, citing growing concerns over financial crimes and national security threats.
The move was disclosed on Thursday during a courtesy visit by CAC Board Chairman, Senator Ibrahim Adah, to EFCC Chairman, Mr. Ola Olukoyede, at the commission's headquarters in Abuja.
According to Adah, only about 20 percent of POS operators nationwide are officially registered with the CAC, despite legal requirements under the Companies and Allied Matters Act (CAMA) 2020 and the Central Bank of Nigeria's Agent Banking Regulations 2026.
He warned that the large number of unregistered operators poses significant risks to the country's financial system and security architecture.
“Evidence increasingly suggests that criminal proceeds, including ransom payments from kidnapping operations, are sometimes routed through POS terminals,” Adah revealed.
The CAC chairman called for stronger collaboration with the EFCC to enforce compliance and establish a comprehensive database of POS operators for use by law enforcement agencies.
He emphasized that both agencies share interconnected responsibilities in combating financial crimes, noting that fraudulent companies often exploit weaknesses in corporate regulation and oversight.
“A strong CAC registry makes the work of EFCC easier, just as strong EFCC enforcement protects the integrity of the CAC corporate registry,” he said.
EFCC Raises Alarm Over POS Activities
Responding, EFCC Chairman Ola Olukoyede described unregulated POS operations as a major challenge to Nigeria's financial ecosystem.
“If you do not regulate the activities of such key players, you will be having major problems and challenges within your financial ecosystem,” he stated.
Olukoyede reaffirmed the anti-graft agency's commitment to partnering with the CAC to tackle financial crimes and strengthen regulatory compliance nationwide.
EFCC Investigating 200 Companies
The EFCC boss disclosed that the commission is currently investigating approximately 200 companies referred by the CAC.
According to him, the investigations have already produced significant findings that could strengthen corporate regulation and expose financial misconduct.
“We have made very interesting discoveries, which will help the CAC by the time it receives our report,” he said.
Agencies to Strengthen Data Sharing
Both agencies agreed on the need for enhanced intelligence sharing, public sensitization, staff capacity building, and improved corporate transparency.
Olukoyede also directed officials from both organizations to review and update their existing Memorandum of Understanding (MoU), particularly regarding beneficial ownership information and data protection.
The partnership signals a major effort by Nigerian authorities to tighten oversight of the rapidly growing POS sector, which has become a crucial part of the country's financial services industry. Authorities believe stronger regulation will help curb money laundering, kidnapping-related transactions, fraud, and other economic crimes.
Twisdic Info Insight: If fully implemented, the EFCC-CAC partnership could lead to stricter registration requirements, increased monitoring of POS transactions, and sanctions against operators who fail to comply with existing laws.