Economy
SEC, CBN Fine 5 Banks for Market Violations
By Leadership
Five commercial banks operating in Nigeria have been sanctions by the apex financial sector regulating bodies in Nigeria, Central Bank of Nigeria (CBN) and Securities and Exchange Commission (SEC), Leadership newspaper is reporting.
The banks were fined N213.7 million between January and June 2017 over 26 market infractions.
The sanctions vary from commercial banks failure to detect single Biometric Verification Number (BVN) wrongly linked to accounts owned by different individuals, late rendition of Returns to CBN, failure to comply with CBN’s Know-Your–Customers (KYC) requirement, among others.
Of the five commercial banks, two leading banks in the country were severely sanctioned by CBN with a total sum of N100 million for failing to detect single BVN wrongly linked to accounts owned by different individuals.
LEADERSHIP can exclusively report that commercial banks often contravene regulating bodies requirement, knowing that the sanctions imposed are minimal from profit generated.
Findings revealed that Stanbic IBTC Holdings Plc incurred the highest market infractions, a total of 10 while Access Bank Plc has two market infractions.
Between January to June of 2017, Stanbic IBTC Holdings was sanctioned N40.7 million in 10 market infractions by CBN and SEC.
According to information obtained by LEADERSHIP, CBN imposed a penalty of N14 million on Stanbic IBTC Holdings over the bank’s failure to notify the CBN within 30 days of the re-deployment of staff.
Also, “SEC imposed a penalty of N4.51 million for the failure to obtain the approval of SEC to utilize the custodian function of the Bank and to hold securities owned by its clients in a nominee account and accept payment on behalf of its clients from individual issuers of securities in contravention of Rule 61(2a) of SEC Rules and Regulations.
“SEC observed violations of the Section 135 (1) & (2) of the Investment and Securities Act 2007 and imposed a penalty of N100,000.
“CBN imposed a penalty of N75,000 on the bank for the late rendition of its daily FINA returns for February 01, 2017, February 03, 2017 and February 13, 2017
“CBN imposed a penalty of N10 million on the Bank for the following breaches: (a) Deployment of an offsite Automated Teller Machines (ATM) without CBN approval- E-business; (b) The returns for ATM cards sent to CBN on FINA were different from the returns provided for the examiners review at the bank- E-business; (c) Not fully complying with Section 3.8 of the Prudential Guidelines as it relates to the information requirement of the Credit print out-Credit; (d) CBN declined the clearance of a staff member who had been blacklisted, the staff member was still in the employment of the bank as at the time of the examination.
“CBN imposed a penalty of N2 million for contravening the CBN circular which is in respect to the repatriation of exports proceeds.
“CBN imposed a penalty of N4 million for the following breaches: (a) Late reporting of 29 suspicious transactions in a timely manner to the relevant authorities; (b) Untimely reporting of Currency Transaction Reports (CTRs) to the relevant authorities.
“A penalty was imposed by CBN for the untimely rendition of the daily returns (FINA) for the period of 17 – 31 March, 17 – 31 May, 2017 – N50,000.
“CBN imposed a penalty of N4million for consummating a transaction of N16.35 billion without obtaining CBN approval and for contravening CBN circular.”
Fidelity Bank Plc was sanctioned N57.9 million for six market infractions.
The bank was sanctioned N40 million by CBN for multiple Account to a BVN and N10million for untimely & Non rendition of STRS.
Also, CBN imposed a fine of N4 million and N2 million in respect of KYC Non-Compliance while SEC imposed a fine of N1.2 million for Late Submission of Annual Financial Report.
In addition, Fidelity bank paid N700, 000 for Late Payment and Account default Of Bank A/Acct 2016 financial year.
However, United Bank for Africa Plc was penalized N40 million for failing to detect single BVN wrongly linked to accounts owned by different individuals and N1 million for late rendering of returns on international cards.
The leading pan-African bank, was penalized N2 million for failing to promptly refund excess charges against the accounts of a customer and introduction of unauthorised monthly maintenance charges respectively.
Lately, Guaranty Trust Bank Plc (GTBank) contravention four market infraction of the CBN, totalling N10.05 million in six months of 2017.
By Aduragbemi Omiyale
The Stanbic IBTC Bank Nigeria Purchasing Managers’ Index (PMI) for the Nigerian private sector in July 2026 contracted to 52.5 points from 53.4 points in June 2026, a statement made available to Business Post has shown.
This occurred despite the business environment sustaining its growth last month, with an increase in new orders experienced, as inflationary pressures softened, and output and employment modestly rising.
The Head of Equity Research West Africa at Stanbic IBTC Bank, Mr Muyiwa Oni, said the PMI indicated that the private sector recorded its slowest since March 2026, as businesses also increased their input purchasing activity to keep up with current demand requirements and prepare for future workloads.
“Nigerian businesses reported improved customer demand in July while better pricing and new product launches also helped them to capture new orders arising from the increase in demand. These factors helped to keep the private sector activity in an expansionary territory, although this moderated when compared to June,” he was quoted as saying.
It was stated that while input costs increased at their slowest pace in five months, panellists reported higher costs for fuel and raw materials. Selling prices also softened in line with the picture for input costs in July.
Headline inflation eased slightly to 15.91 per cent y/y in June from 15.93 per cent y/y in May, snapping three consecutive months of price increases.
Although July inflation is likely to be higher m/m, it is expected to print lower, likely at 15.72 per cent y/y, primarily driven by favourable base effects from the corresponding period of last year, because there are no expectations of the magnitude of m/m inflation witnessed in July 2025 (1.99 per cent) to materialise this year.
“We retain our 2026 growth forecasts at 4.1 per cent as we see the oil sector growing by 3.45 per cent y/y in 2026, from 8.50 per cent y/y in 2025, while the non-oil sector is likely to grow by 4.11 per cent y/y, from 3.71 per cent y/y in 2025.
“The risks to our outlook include country-wide insecurity which may constrain food production, exchange rate pressures resurfacing, extreme-weather related conditions and higher fertiliser prices impacting crop yield, and a volatile global environment which may affect sentiment and constrain capital flows,” Mr Oni noted.
By Adedapo Adesanya
Sahara Upstream, a Nigeria-focused crude producer, has deployed a new 380,000-barrel tanker to boost exports from the OML 18 block as part of a wider push by domestic operators to invest in infrastructure and lift output and exports for Africa’s biggest oil producer.
The MT D Adesanya, which can hold more than 62,000 cubic metres of crude, will operate alongside the MT D Bayero, receiving crude from shuttle vessels at Bonny Anchorage, one of Nigeria’s main crude export hubs, before transferring it to the FSO Cawthorne storage facility.
Sahara said the tanker would help cut turnaround times, currently about 30 to 48 hours, and support a planned 50 per cent increase in exports from the block’s current level of about 950,000 barrels per month.
The block currently produces about 36,000 barrels per day, according to data from the Nigerian Upstream Petroleum Regulatory Commission (NUPRC), with Sahara targeting output of 60,000 barrels per day.
OML 18 is one of the Niger Delta’s oldest producing assets. It began production in 1970 and contains an estimated 1.5 billion barrels of oil equivalent in reserves.
Shell, Total and Eni sold their combined interests to Eroton in 2015 as part of a broader shift toward domestic ownership in Nigeria’s upstream sector.
This development comes as Sahara Upstream is deepening its exploration and production footprint through Asharami Energy Limited (AEL), its upstream E&P business, which says it is targeting 350,000 barrels of oil per day by 2030 through its subsidiary, Enageed Resources Limited (ERL).
The growth target comes as AEL also marks a major safety milestone, achieving 6 million Lost Time Injury (LTI)-free man-hours in its OML-148 operations — reinforcing the company’s commitment to operational excellence and safety leadership.
According to Asharami Energy, the milestone reflects its ability to execute complex operations safely, in line with Sahara’s Beyond XXX vision, which builds on the group’s 30-year legacy of responsible enterprise while marking its next chapter of impact, innovation, and sustainable growth.
The developments position Sahara Upstream and its subsidiaries among the domestic operators driving increased investment in Nigeria’s oil and gas infrastructure, as the group works to scale up production and exports for Africa’s biggest oil producer.
By Aduragbemi Omiyale
One of the leading energy firms in Nigeria, Aradel Holdings Plc, has expressed its desire to optimise its enlarged portfolio and improve operational efficiency in the second half of 2026.
The company is planning to build on the success it recorded in the first half of the year, where it grew its revenue by 577 per cent to N2.5 trillion from N368.1 billion in H1 2025.
The significant rise in earnings was driven by higher production volumes together with stronger realised crude oil and gas prices, with the average at $90.4/bbl and $2.08/mmscf, respectively.
In the period under review, the Earnings Before Interest, Taxes, Depreciation, and Amortization (EBITDA) increased by 688 per cent to N1.4 trillion from N176.4 billion in the corresponding period of last year, while the operating profit surged by 789 per cent to N1.1 trillion from N118.6 billion due to higher revenue and crude handling income at N149.8 billion, partly offset by underlift cost and general and administrative costs.
The net cash generated from operations was N975.6 billion between January and June 2026 versus N140.8 billion in the same period of 2025, reflecting the cash generation of the enlarged organisation.
The net debt contracted by 70 per cent on a year-to-date basis to N46.5 billion from N475.1 billion as of December 31, 2025.
Aradel, in the period under consideration, improved its post-tax profit by 30 per cent to N191.0 billion from N146.4 billion, a development that impressed its chief executive, Mr Adegbite Falade, who said, “A firmer price environment supported performance, generating net cash from operating activities of N975.6 billion and a closing cash balance of N1.7 trillion.”
“Our enlarged portfolio provides more opportunities to generate stronger cash flow and returns for shareholders and unlocking that potential is our main focus.
“We reaffirm our full year production guidance of 110 – 140 kboepd and remain committed to operating responsibly in a changing energy landscape and to delivering lasting value for our stakeholders,” he stated.
