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Group urges CBN to prosecute owners of micro-finance firm


CAMPAIGN for Democratic and Workers’ Rights (CDWR), has condemned alleged care free attitude, the Central Bank of Nigeria (CBN), in handling reported alleged swindling of millions of naira from unsuspecting Nigerians by operators of alleged unregistered finance house, “PS Micro-finance”.

CDWR in a statement called on the CBN to bring the management of said finance house to book and recover the trapped deposits of hapless traders and other Nigerians. In the statement by its secretary, CDWR said: “As reported in the press on  July 12, 2009, PS Micro-finance whose head office was on Ayo-Alabi Street, Oke-Ira, Ogba with a branch at Akute had lured poor Nigerians, particularly traders into depositing their hard earned money (running into millions of naira) into the bank as a pre-requisite condition to getting mouth-watering loan facilities. After four months of accumulating huge deposits the management has absconded with the money. CDWR sees the response of CBN as irresponsible and unfortunate.

“And since the ugly incident, the CBN has not made any effort to bring the perpetrators of this fraud to book. We don’t know of anybody who gets to see bank’s license before depositing his or her money with the banks, particularly when a licence can easily be forged. We find it difficult to believe that a bank would open office and branches without the regulatory body (CBN) knowing about the operations of such bank. Lagos State government may have collected one form of tax or the other from this micro-finance, and so they can also assist in tracking down these fraudsters.”


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