Hussaini Magaji (SAN), the Registrar General of the Corporate Affairs Commission (CAC), has emphasized that all financial technology operators (Fintechs) must register with the commission before July 7, 2023. He stated that operating without registration constitutes a crime according to the law.
Magaji made this declaration during the commission’s formal unveiling of the registration center for Fintech agents and merchants in Abuja on Wednesday.
He clarified, “It is a requirement of the law and the guidelines that Fintechs mandate PoS operators adhere to when obtaining their machines as outlined by the CBN to register with the CAC. Therefore, operating a PoS without registering with the CAC is a crime in Nigeria, and the operator should be jailed.”
“CAC, on our part, is enforcing the provisions of the law that mandate every legitimate business register with the commission, either as an individual, business, or merchant. PoS operators must register, and what we are doing now is enforcing parts of the Companies and Allied Matters Act (CAMA) provisions,” he added.
Magaji explained, “CAC was instructed to penalize PoS operators operating without registration with a N200 form. However, because of the president’s position on encouraging small businesses, we agreed that no one should be penalized. We have set a deadline because we have conducted sensitization since December. By July 7, 2024, we hope to conclude.”
He emphasized that the registration of all POS merchants and agents across the country would significantly reduce crime. “We have a situation where a ransom is paid with POS terminals, so with the registration, we will identify the people whose machines were used to perpetrate the crime because the CAC will capture all your information,” Magaji stated.
Additionally, he noted that the registration center would be open 24 hours a day for Fintechs that might want to register manually. The CAC has already established a structure for Fintechs on the commission’s portal for easy registration, where the certificate would be automatically generated and sent to their platform.
