T he Central Bank of Nigeria (CBN) has
said it will sack chief executive officer and chairman of any bank that fails
to publish its financial statement within the regulatory period.
Emefiele CBN Governor Emefiele CBN Governor This was
contained in the Monetary, Credit, Foreign Trade and Exchange Policy Guidelines
for the 2016/2017 fiscal year released by the apex bank, yesterday.
According to the CBN, all banks must publish their financial
statements latest four months after their financial year or risk severe
sanction, including removal of the chief executive officer and the chairman.
The CBN stated: “In accordance with BOFIA 2010 LFN, banks
are required, subject to the written approval of the CBN, to publish not later
than four months after the end of each financial year, their audited financial
statements (statement of financial position and statement of comprehensive
income) in a national newspaper printed and circulated in Nigeria.
“To facilitate the implementation of consolidated
supervision, all banks, discount houses and their subsidiaries shall continue
to adopt December 31, as their accounting year-end.
“The CBN shall continue to hold the Board Chairman and
Managing Director (MD) of a defaulting bank directly responsible for any breach
and impose appropriate sanctions which may include the following:
Barring the MD or his/her nominee from participation in the
Bankers’ Committee and disclosing the reason for such suspension; suspension of
the foreign exchange dealership licence of the bank and its name sent to the
Nigerian Stock Exchange (in the case of a public quoted company); and removal
of the chairman and managing director from office if the accounts remain
unpublished for 12 months after the end of the bank’s financial year.”
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