NigeriaMoney Laundering (Prevention and Prohibition) Act 2022, reports of single transactions above N5,000,000 for an individual and N10,000,000 for a body corporate
Money Laundering (Prevention and Prohibition) Act, 2022, s. 11
In force since .
An AI sector rules rule binding private bodies.
- Instrument type
- an act of a legislature
- Obligation class
- Reporting
- Audit expectation
- on_request
- Who audits it
- Regulator
As of .
What it requires
- It reaches you if you are a financial institution as section 30 of the Act defines the term, or a designated non-financial business or profession. Report in writing, within seven days, any single transaction, lodgment or transfer of funds in excess of N5,000,000 or its equivalent in the case of an individual, or N10,000,000 or its equivalent in the case of a body corporate (section 11(1)(a) and (b)).
- A financial institution makes the report to the Nigerian Financial Intelligence Unit, and a designated non-financial business and profession makes it to the Special Control Unit Against Money Laundering (section 11(1)).
- Do not conduct two or more transactions separately with one or more financial institutions or designated non-financial businesses and professions with intent to avoid the duty to report a transaction that should be reported under the Act (section 2(2)(a)).
These lines are LexLint's reading of the law's text, as of .
If you get it wrong
Criminal exposureYes
Criminal exposure note
Contravening the duty is an offence under section 11(3), punishable on conviction by a fine of at least N250,000 and not more than N1,000,000 for each day the contravention continues.
Penalty structure
A financial institution or designated non-financial business and profession that contravenes the duty commits an offence and is liable on conviction to a fine of at least N250,000 and not more than N1,000,000 for each day the contravention continues.
- Rule
- Per violation only
- As of
- Minimum
- 250,000
- Currency
- NGN
- Per violation unit
- Day
- Per violation amount
- 1,000,000
Over one month of continuous breach, NGN 30,440,000.
Who enforces it
Enforcement body
The Central Bank of Nigeria, the Securities and Exchange Commission, the National Insurance Commission and, for designated non-financial businesses and professions, the Special Control Unit Against Money Laundering
What this law does
A financial institution must report to the Nigerian Financial Intelligence Unit, and a designated non-financial business and profession to the Special Control Unit Against Money Laundering, in writing within seven days, any single transaction, lodgment or transfer of funds in excess of N5,000,000 or its equivalent in the case of an individual, or N10,000,000 or its equivalent in the case of a body corporate.
A person other than a financial institution may voluntarily give information on any transaction, lodgement or transfer of funds in excess of N1,000,000 or its equivalent in the case of an individual, or N5,000,000 or its equivalent in the case of a body corporate.
A financial institution or designated non-financial business and profession that contravenes section 11 commits an offence and is liable on conviction to a fine of at least N250,000 and not more than N1,000,000 for each day the contravention continues.
A person may not conduct two or more transactions separately with one or more financial institutions or designated non-financial businesses and professions with intent to avoid the duty to report a transaction which should be reported under the Act.
When LexLint raises it
When your app profile says your app provides financial services.