Abuja - The Central Bank of Nigeria (CBN) has ordered all banks to seek its approval before employing new staff.
The move according to the apex institution is aimed at checking the employment of fraudulent banks workers who have been previously sacked.
The directive followed allegations by the bank that most banks in the country were employing workers other banks had sacked over fraudulent activities.
CBN's Director of Banking Supervision, Tokunbo Martins, said by compelling banks to seek approval before employing new staff, the apex would be able to check the circulation of fraudsters in the banking system.
Martins noted that the directive had been in operation since 2004 but that most banks have refused to comply with it.
She noted that the central banks had issued a reminder to banks on the directive and that appropriate sanctions will be melted out to any bank that defaulters.
“The intention of the directive is to prevent the recycling, within the banking Industry, of erstwhile employees indicted, terminated or dismissed for fraud and other acts of dishonesty,” she said.
Martin however stated that for employees to assume duty without the CBN’s prior approval, banks and discount houses should within 30 days submit their curriculum vitae and other relevant information on the new employees to the CBN for clearance.
She noted that the directive stipulates that all banks and discount houses shall include as part of the terms of employment (offer letter) that ‘the offer is subject to the receipt of satisfactory responses on any background checks or other inquiries on the employee from relevant authorities.
– CAJ News
For the latest on national news, politics, sport, entertainment and more follow us on Twitter and like our Facebook page