Standard Bank has been named an alleged violator of Nigerian exchange control rules as that country investigates MTN
- The Nigerian government is investigating possible exchange violations by MTN, Business Day reported on Friday.
- A confidential audit report commissioned by the Nigerian Attorney General names Standard Bank among the alleged culprits.
- It is one of several global banking groups who allegedly breached Nigeria's foreign exchange regulations – repeatedly.
An audit report of into foreign companies' compliance with exchange controls in Nigeria names Standard Bank as a possible violator.
Standard Bank was named alongside Standard Chartered and Citigroup as having failed to properly report on foreign currency flows.
The report recommends that other banks – but not Standard – should be made to “refund and return” billions of dollars according to Finance Uncovered and amaBhungane.
See: The PIC took a R1.8 billion hit after it bought Cyril Ramaphosa's company out of MTN Nigeria
The report was commissioned by Nigeria's Attorney General.
It alleges that Stanbic (a 53.25%-held subsidiary of Standard Bank), may have failed to declare almost $950-million (R11.32 billion) in capital inflows to Nigeria.
It recommends that Standard's future right to use such declarations to repatriate dividends for MTN shareholders be withdrawn.
Read the full amaBhungane article: Nigerian bank investigation could embroil MTN, Ramaphosa
The report’s demands for “required enforcement actions” were delivered to the attorney general and the central bank last October but almost five months later there are concerns nothing has been done. A whistleblower, angry at the perceived inaction of Nigeria’s authorities, showed a copy of the report to Finance Uncovered.
Neither MTN nor Standard are new to wrestling with Nigerian authorities. Stanbic was slapped with a $5 million fine back in 2015 for alleged accounting malpractices. Nigeria's telecommunication’s regulator imposed a $5.2 billion fine on Johannesburg-based MTN Group Ltd. for failing to disconnect Nigerian customers' unregistered sim cards.
According to a Business Day report, the spokesman for Standard Bank’s Nigerian subsidiary said it had received no “formal communication” from the Nigerian government about the investigation and therefore could not comment.
Receive a single WhatsApp message every morning with all our latest news: Sign up here
- An exec who invests Mark Shuttleworth’s money keeps every rejection letter he has ever received – here’s why
- TUC biscuit tweet that makes fun of listeriosis ‘is in very bad taste’
- Richemont can now take over an online retailer that sells tekkies for R23,000 a pair - and Amazon should be worried
- The White House has 'the most toxic working environment on the planet'
- Measured in energy, this SA company sold as many batteries as Tesla made at its famous gigafactory
- Video games, chewing gum and driving lessons are some of the products Stats SA uses to calculate South Africa's cost of living
- The Free State could be producing 5% of the world’s helium soon – and that could change much more than just the party-balloon market
- What Stephen Hawking thought about boy bands, black holes and aliens
- Spotify is now in South Africa – 3 reasons why Apple Music is still better
- Civil servants' pee will be used to water a new green feature in Cape Town
- With this new dating app, you pick a match by listening to their voice, not viewing their picture — here's how it works
- Most vitamins are useless, but here are the ones you should take
- 15 things you're doing that make people dislike you immediately
- The 7 biggest questions we had after watching 'Black Panther', and hope are answered in the seque
- A mysterious property company just paid R150 million for a very unassuming building in Cape Town
- An OUTsurance founder just landed a R350 million payday – but he's not shopping for private islands just quite yet