Abuja: The Corporate Affairs Commission (CAC) has unveiled plans to strengthen its compliance and enforcement mandates, with a focus on formalising businesses and enhancing post-incorporation compliance. The Registrar-General of CAC, Hussaini Magaji, said this during the in-house enforcement and compliance training for state offices on Monday.
According to News Agency of Nigeria, the training, with the theme ‘Re-engineering the Commission for Compliance and Enforcement Mandates,’ aims to ensure efficient management of corporate entities. Magaji highlighted the need for a paradigm shift in the commission’s operations, emphasising the significance of compliance and enforcement functions beyond routine business registration.
Magaji identified compliance enforcement as a key component of his four-point agenda upon assuming duty in 2023, highlighting advancements in Artificial Intelligence (AI) that could manage routine tasks like business registration. This would allow resources to focus on more complex complia
nce and enforcement activities. He also mentioned the success of the PoS Formalisation Project, which had registered about 100,000 Point-of-Sale operators under the Companies and Allied Matters Act (CAMA) 2020, with plans to formalise at least 250,000 operators in the sector.
Magaji stressed that formalisation is essential for legitimate business operations and access to government interventions, while also mitigating risks like money laundering and terrorism financing. Plans are underway to implement sanctions for operators who do not comply with formalisation requirements, and Magaji clarified that one registration suffices for multiple fintech platforms.
Beyond initial registration activities, the registrar-general emphasized the importance of prioritising post-incorporation compliance as a sustainable revenue stream for modern registries. He revealed plans to tackle issues like shell companies, opaque ownership structures, and proper disclosure of persons with significant control, aligning with global s
tandards and regulations.
Magaji stated that the training will equip staff to undertake compliance enforcement and inspection duties with confidence, marking the start of a drive towards enhanced post-incorporation compliance. The training includes technical sessions on statutory books, records, returns, and filings for registered entities, with contributions from law enforcement agencies.
Representing the National Drug Law Enforcement Agency, Deputy Commander on Narcotics, Harami Wakirwa, expressed that the initiative demonstrates CAC’s commitment to promoting compliance, integrity, and accountability. He encouraged participants to engage actively and embrace the reforms to align the commission’s operations with global best practices.
Additionally, DCP Usman Ahmed, Deputy Director of the Nigeria Police Force National Cybercrime Center (NPF-NCCC), acknowledged the vital role of compliance and enforcement in ensuring secure business operations. He urged that the training should lead to improved cybersecurit
y, inter-agency collaboration, and enhanced public confidence in institutions.