CBN freezes four fintech firms’ accounts

The Central Bank of Nigeria (CBN) has secured a court injunction to freeze the bank accounts of four financial technology (fintech) firms for operating as asset management companies without licence.

The affected companies are Rise Vest Technologies Limited, Bamboo Systems Technology Limited, Chaka Technologies Limited, and Trove Technologies Limited.  

According to reports, the Federal High Court in Abuja granted an ex parte motion seeking the temporary freezing of the companies’ bank accounts yesterday.

Michael Aondoakaa (SAN) filed the motion on behalf of CBN to probe the activities of the four firms.

CBN alleged that the companies were operating without licences as asset management companies “and utilising foreign exchange sourced from the Nigerian FX market for purchasing foreign bonds/shares in contravention of the CBN circular referenced TED/FEM/FPC/GEN/01/012, dated July 1, 2015.”

The Chief Executive Officer of Rise Vest, Eke Urum, assured users of the platform that trading activities would continue as usual, as his team had sought resolution with the regulator.

“We’re aware of the recent reports about us. Our legal and government relations teams are looking into it, but we thought it was important to let you know that your money remains safe with Bamboo and will always be readily accessible,” Bamboo told its users.