CBN to fine Banks N10m for using unaccredited cheque printers

 

The Central Bank of Nigeria (CBN) has imposed a N10 million penalty on commercial banks that engage unaccredited cheque printers or personalisers.

The sanction is part of the apex bank’s revised penalties for violations of the Nigeria Cheque Standard (NCS) and the Nigeria Cheque Printers’ Accreditation Scheme (NICPAS).

According to the updated framework, any bank found using an unaccredited cheque printer either through reports from accredited providers or CBN/MTIC audits—will face a N10 million fine and immediate withdrawal of the affected cheques from circulation. A repeat violation will attract a N20 million fine alongside cheque withdrawal.

The CBN also stated that banks that fail or refuse to submit personalised cheque samples for required testing and analysis will be fined N5 million. Additionally, improperly encoded cheques or those that do not meet mandatory security and quality standards will incur a penalty of N10,000 per instrument.

In a circular signed by the Director of the Banking Services Department, Hamisu Abdullahi, the CBN recalled that it had earlier issued sanctions in 2019 for breaches of the Nigerian Cheque Standards and NICPAS.

The bank explained that the review of the sanction regime was necessary to strengthen efficiency and safety within the Nigeria Clearing System and to reflect current developments in the banking sector.

The CBN urged all banks and accredited cheque printers/personalizers to comply strictly with the revised guidelines.