The Federal Competition and Consumer Protection Commission, said it has frozen the bank accounts of over 30 illegal loan companies operating in Nigeria.
The Executive Vice Chairman of the Commission Mr. Babatunde Irukera, said this at a media briefing in Abuja.
The Commission in a joint operation had on March 12 shut down the offices of some illegal online banks.
The Enforcement Team was made up of the FCCPC, Nigeria Information Technology Development Agency, and the Independent Corrupt Practices and Other Related Offences Commission.
The Commission had said the order became imperative as it had established inappropriate conduct or use of the application in violation of the rights of consumers.
The Order of the Commission also prohibits acceptance and presentation of new applications for the same purpose without regulatory assessment and approval.
Giving an update on the issue, Irukera said the Commission has ordered Google LLC (Play Store) and Apple Inc. (App Store) to enforce the withdrawal of certain applications belonging to illegal online banks operating in Nigeria.
He added that the FCCPC is currently engaging three major loan companies whose businesses had been affected by its raid.
He said, “The day we conducted the raid, we have some limited information about the bank accounts that some of the loan companies operated.
“All the bank accounts that were provided were immediately blocked but these companies operate multiple bank accounts with multiple names.
“Between the time we raided and now, we have discovered additional 30 accounts and all have been frozen and we will continue to freeze as we discover them.
“I am certain that with the actions that we have taken and the nature of the engagement we are having with the loan companies, at least three of the major ones that their businesses have been severely affected by either our search or the account closure they are modifying.
“It will take some time but I can assure you that the space is changing now.”
