In a press release issued on its website dated March 5 with
reference number FPR/DIR/PUB/LET/001/022, and signed by its Director, Financial
Policy and Regulation, Dr. Valentine Ururuka, the CBN expressed dismay over the
late and non-rendition of periodic returns related to the Financial
Institutions’ Annual reports.
According to CBN, “Primary Mortgage Bank shall be construed
as any company that is licensed to carry out primary mortgage banking business
in Nigeria.”
The apex bank emphasised that adherence to regulatory
guidelines is crucial for maintaining financial stability and transparency
within the banking sector.
PMBs play a vital role in the real estate and housing
finance industry, and their compliance with reporting requirements is essential
for effective oversight.
The CBN reminded all PMBs of the provisions outlined in
Section 24 of the Banks and Other Financial Institutions Act 2020.
This section specifically addresses the timely rendition of
regulatory returns, including the FinA reports.
PMBs are required to submit their monthly FinA returns on or
before the 5th day after the month-end.
This deadline ensures that the CBN receives accurate and
up-to-date information about the financial health of these institutions.
In cases where the 5th day falls on a weekend or public
holiday, PMBs are instructed to submit their returns on the previous workday.
This flexibility aims to accommodate any disruptions caused by non-working
days.
The CBN issued a strong warning that future breaches of
regulatory reporting deadlines will be met with appropriate sanctions.
These sanctions may include fines, restrictions, or other
disciplinary measures.
The statement read, “The Central Bank of Nigeria has
observed with dismay the late and non-rendition of periodic returns- on FinA by
Primary Mortgage Banks.
“All PMBs are therefore reminded of the provisions of
Section 24 of the Banks and Other Financial Institutions Act 2020, and other
extant regulations on timely rendition of regulatory returns.
“Consequently, all PMBs are to ensure that their monthly
FinA returns are submitted on or before the 5th day after the month’s end.
Where the 5th day falls on a weekend or public holiday, returns shall be
submitted the previous work day.
“You are strongly advised to ensure timely rendition of all
regulatory returns as future breaches shall be sanctioned.”
The statement added that PMBs encountering technical issues
preventing timely submission must promptly notify the CBN via email.
The notification should include evidence of the technical
issue to facilitate resolution.
It said, “In case of technical issues, you are required to
notify the CBN via email to OFIreturnscbn.qov.nq prior to the deadline,
detailing with evidence the technical issue.”
The CBN urges all PMBs to take these guidelines seriously
and ensure the timely rendition of all regulatory returns. Failure to comply
may have serious consequences for the banks and the overall financial system.
0 comments:
Post a Comment