CBN Fines Skye Bank N4 Billion Over TSA Infringement

The Central Bank of Nigeria (CBN) has imposed a fine of N4 billion on Skye Bank Plc for failing to render appropriate returns on accounts of some government institutions and agencies.

This is contained in a statement by Skye Bank to the Nigerian Stock Exchange (NSE).

However, the bank said that the fine imposed by the apex bank was misdirected since it did not conceal any information of the accounts from the central bank.

Skye Bank said that significant portion of the money for which penalty was applied belonged to the state-owned energy company NNPC Pension Funds and National Assembly Legislative Aides account balances, and that the sum of N40 billion which the fine was imposed on came from NNPC account balances it had received a communication from the oil giant exempting it from the Treasury Single Account (TSA) operations.

Skye Bank said it received “a communication from the NNPC forwarding a letter from the Accountant General of the Federation on the treatment of NNPC funds.

“By the communication, the bank is advised that an 18 business day window had been granted by the Vice-President, Yemi Osinbajo, within which a plan for the orderly withdrawal of the NNPC funds will be implemented’’.

The statement said that Skye Bank had commenced engagement with the apex bank with a view to bringing the issues to the attention of the banking sector regulator and seeking a review of the penalty.