The Central Bank of Nigeria (CBN) yesterday reiterated that any individual or organisation that issue bounced or dishonoured cheques on three occasions would be blacklisted and barred from “having anything to do with the banking system.”
The CBN Deputy Governor, Corporate Services, Alhaji Suleiman Barau, said the apex bank intends to create a situation where such incidence would be formally reported to law enforcement agencies including the Economic and Financial Crimes Commission (EFCC) for prosecution.
He said blacklisting such individuals or corporate entities who engage in issuing dud cheques had "a salutary effect of discouraging other people who may want to take advantage of the laxity in enforcement to go the route you’ve gone."
Speaking in Abuja at the opening of a two-day National Stakeholders' Workshop on Dishonoured Cheques in Nigeria, the CBN deputy governor said: "What that does is that you are marked as somebody who has the propensity to run down the banking system."
Represented by the CBN Director, Legal Department, Mr. Simon Onoketu, Barau said: "We expect that once the arrangements we are putting in place works, we’ll get to a point where people will know that if you go on issuing dud cheques, you are likely to end up in prison even using the law that we have on ground right now, we know how long it takes for the legislative process to go through but it is a good thing that we are discussing now because as we noted, there are a lot of laws with the law as we have it."
He said the menace of bounced cheques had the potential of eroding confidence in the banking sector as well as discouraging Foreign Direct Investment (FDI), adding that the CBN intends to create a system where dud cheques are discouraged.

read full article here- https://www.distributenaija.com/