In a circular entitled “Penalty for non compliance on CBN circulars and guidelines on ATM operations in Nigeria”, issued by the central bank’s Banking and Payments System department, the bank says that it had become imperative to restore order in the system, stressing that there had been deliberate attempts by participants in the electronic payment arena to frustrate the central bank’s policies.
Apart from a monetary fine of N50, 000 (USD 330) for each of the 14 cases identified and listed in the circular, the affected bank or acquirer stands the chance of being suspended from clearing operations or barred from participating in Real Time Gross Settlement (RTGS), until any infractions have been corrected.
Some of the offences include:
- Non-compliance with Payment Card Industry Data Security Standards (PC IDSS) which attracts a fine of N50,000 per week and will apply until compliance is established,
- Non-compliance of ATM terminals with Europay, MasterCard and VISA (EMV) level 1&2, which will attract a fine of N50,000 and temporary suspension of the affected terminal until compliance is established,
- A N50,000 fine per day for late submission of return and data on ATM frauds when required,
- Failure to provide audit trails and journals for ATM transaction would also attract a fine of N50,000 per week.