Money Laundering: EFCC Beams Searchlight On BDC Operators

Worried by the dynamics of financial crimes that have seen some Bureau De Change (BDC), operators involve in money laundering, the chairman of the Economic and Financial Crimes Commission (EFCC),  Mr. Ola Olukoyede has warned Bureau De Change,  BDC,  operators and other business stakeholders across the country against illegal cash smuggling.

He emphasised that illicit cash movement undermines economic stability and fuels crimes such as money laundering, terrorism financing and corruption. Olukoyede said the legal frameworks governing cash movements, including the EFCC Act (2004), Money Laundering ( Prevention and Prohibition Act) 2022 and Central Bank of Nigeria guidelines.

The EFCC chairman reiterated that individuals transporting cash exceeding $10,000 (or its equivalent) must declare it to the Nigeria Customs Service, as failure to do so constitutes a criminal offense.According to him, “Nigeria, as a signatory to international anti-money laundering conventions, has established strict laws to regulate the movement of cash in and out of the country.

The Central Bank of Nigeria (CBN) Act, Money Laundering (Prevention and Prohibition) Act 2022, and the EFCC Establishment Act provide clear guidelines on cash declarations and penalties for violations.“Despite these laws, many travelers, whether businessmen, pilgrims, or tourists, still engage in illegal cash movements, either out of ignorance or deliberate attempts to evade financial regulations.

Today, we will clarify the legal requirements, reporting obligations, and consequences of non-compliance.“The consequences of illegal cash trafficking are grave—ranging from imprisonment, hefty fines, to forfeiture of assets.

The EFCC, in collaboration with sister agencies, remains resolute in prosecuting offenders and safeguarding the integrity of Nigeria’s financial system.”

The antigraft boss called on Nigerians to support and ensure collective vigilance against illicit financial flows in Nigeria, noting that “We urge all stakeholders to prioritize national interest over personal gain. Compliance is not optional; it is a legal and patriotic obligation. Together, we can curb illicit financial flows and promote economic security”.

It would be noted that Section 3(3) of the Money Laundering (Prevention and Prohibition) Act declares cash transportation above $10,000 (or equivalent) without declaration illegal and Section 18 of the same Act mandates BDCs to report suspicious transactions to the NFIU (Nigeria Financial Intelligence Unit).

In one of the major cases of money laundering allegations against BDC operators, the federal government arrested and prosecuted 19 operators.

They were arrested in different parts of Lagos during a joint operation conducted by the police, the Economic and Financial Crimes Commission (EFCC), and the Nigeria Customs Service (NCS) and arraigned before a federal high court in Ikoyi.