CAC Blows Hot As PoS Operators Registration Deadline Expires

The Corporate Affairs Commission (CAC) has issued a stern reminder to Point of Sale (PoS) operators across Nigeria, warning them that the deadline for business registration has expired.

The deadline, initially announced on July 7, 2024, passed on September 5, 2024, and the CAC expressed concerns over the inadequate compliance with the directive.

Despite the large number of PoS operators in the country, many have failed to register their businesses, prompting the CAC to take action.

The CAC commended operators who have taken steps to formalize their businesses, praising their “positive attitudes” towards compliance.

However, the Commission noted with concern the significant number of operators who have not adhered to the directive, suggesting that some may be engaging in unwholesome activities.

The CAC emphasized that it is working in collaboration with law enforcement agencies and other relevant stakeholders to implement a comprehensive enforcement and sanction framework.

The measures may include the shutdown of non-compliant businesses and other severe legal consequences, serving as a deterrent to those who refuse to register.

The Federal Government, through the CAC, had previously set a two-month deadline for PoS operators to register their agents, merchants, and individuals with the commission.

This directive was issued in response to a rise in fraud incidents involving PoS terminals and the Central Bank of Nigeria’s plans to prohibit trading in cryptocurrencies and other virtual currencies.

According to a report from the Nigeria Inter-Bank Settlement System Plc, PoS terminals were involved in 26.37% of fraud incidents in 2023, highlighting the need for registration to reduce fraud.

The CAC stated that the registration initiative aims to reduce fraud within the system, as well as combat kidnapping and the payment of ransoms.

The Commission is working with Law Enforcement Agencies and other relevant stakeholders to deploy comprehensive enforcement and sanction framework that may include not only possible shutdown but other severe legal consequences