The Federal Government has emphasized that mandatory registration of Point-of-Sales (PoS) operators nationwide will contribute to reducing kidnapping incidents and aiding security agencies in apprehending recipients of ransom payments.
Failure to comply with the directive to register with the Corporate Affairs Commission (CAC) after July 7, 2024, will result in action by security agencies against non-compliant PoS operators, as highlighted by the Registrar-General of the CAC, Hussaini Magaji, during the formal launch of the CAC registration of agents and merchants of fintechs in Abuja on Wednesday.
This initiative aligns with legal requirements and the directives of the Central Bank of Nigeria (CBN) to safeguard businesses and enhance the economy. PoS terminals accounted for 26.37 percent of fraud incidents in 2023, according to a report by the Nigeria Inter-Bank Settlement System Plc.
Magaji emphasized that the registration process aims to prevent criminal activities and fraudulent practices by providing crucial data to security agencies. The 60-day registration deadline will not be extended, and defaulters will face consequences. A 24-hour service center has been established to facilitate the registration process and accommodate inquiries from PoS operators.
While the directive has sparked mixed reactions among PoS agents, with concerns raised about its impact on operators, especially those in rural areas, supporters believe it will standardize businesses and enhance security measures. The move is seen as necessary for standardization and enhanced security within the financial system, according to some industry experts.
Despite varying opinions, the government remains committed to the deadline, emphasizing the importance of registration for business legitimacy, access to loans, and compliance with regulatory requirements. As the registration deadline approaches, the focus remains on ensuring the integrity of financial transactions and safeguarding businesses against fraudulent activities.
