The Corporate Affairs Commission (CAC) announced on Saturday that it has extended the registration deadline for Point of Sale (PoS) operators in Nigeria by 60 days. Instead of the initial deadline of July 7, operators now have until September 5, 2024, to register their businesses.
New Deadline and Warning
The CAC warned that operators failing to meet the new deadline would face prosecution and risk losing their businesses. The Commission stated:
“The Corporate Affairs Commission wishes to notify Fintech Operators, also known as Point of Sales (POS) Operators, that the initial deadline of 7th July 2024 given for the registration of sole Agents, Super Agents, and Agents has been extended for sixty days beginning from 7th July 2024 to the 5th September 2024.
“This extension aims to give sufficient time to Operators, particularly those in remote areas who might have encountered network challenges, to register and continue their businesses. Operators who fail or refuse to register by the extended deadline risk losing their businesses and facing prosecution for aiding and abetting criminal activities.”
Registration Challenges
Since the announcement in May, some PoS operators have reported difficulties registering on the CAC’s portal. This led Lagos State Governor Babajide Sanwo-Olu to request a process simplification. During a courtesy call on Thursday by the CAC Registrar-General Hussaini Magaji at Alausa, Ikeja, the Governor, represented by his Deputy Dr. Obafemi Hamzat, suggested that the CAC adopt a model similar to the state tax card, which provides a database for managing infrastructure needs without burdening businesses.
Sanwo-Olu expressed the state government’s willingness to collaborate with the CAC to ensure seamless business registration and emphasized the need for more sensitization to correct the perception that registering with the CAC is difficult.
Background
In May, the CAC announced that PoS agents of major fintechs in Nigeria, including OPay, Palmpay, and Moniepoint, were given a July 7, 2024 deadline to register their businesses. Registrar-General Hussaini Magaji explained that this agreement was reached after a meeting with PoS operators in Abuja. The registrations align with the Central Bank of Nigeria (CBN) legal requirements and directives.
Magaji added that the action is supported by Section 863, Subsection 1 of the Companies and Allied Matters Act, CAMA 2020, and the 2013 CBN guidelines on agent banking. The registration aims to safeguard fintech businesses and customers and strengthen the economy.
However, the Association of Mobile Money and Bank Agents in Nigeria (AMMBAN) recently condemned the mandated registration, describing it as an attempt to tax more Nigerians to generate revenue for the government.
