The Chairman of the Economic and Financial Crimes Commission (EFCC), Ola Olukoyede, has issued a stern warning to miners and dealers of precious metals and stones in Nigeria.
He urged them to stop allowing their operations to be used as channels for money laundering and terrorism financing.
He cautioned industry players against inadvertently undermining the Federal Government’s efforts to curb insecurity and financial crimes.
Olukoyede, whose message was delivered by the Zonal Coordinator of the Special Control Unit Against Money Laundering (SCUML) for the Ibadan Zonal Directorate, Chief Superintendent of EFCC (CSE) Toyin Ehindero-Benson, criticised legitimate operators for their “gross insensitivity.”
He highlighted their failure to adhere to the Know-Your-Customer (KYC) policy and their general negligence in reporting suspicious transactions.
The warning was delivered at a one-day capacity building and sensitization workshop in Ibadan, Oyo State.
The event was organized by the EFCC in collaboration with the Nigerian Financial Intelligence Unit (NFIU) and sponsored by the German International Cooperation (GIZ).
He charged the participants to become thoroughly familiar with the regulatory framework governing SCUML operations to ensure full compliance with the nation’s Anti-Money Laundering (AML) and Counter-Terrorism Financing (CTF) guidelines.
He stressed that the mineral resources industry’s nature makes it a “critical focal point in the fight against financial crimes” and described the workshop as a valuable platform to raise awareness, share best practices, and improve cooperation between regulators and operators.
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The sensitisation programme featured a series of presentations addressing vulnerability and compliance requirements.
ACE II Musa Yusuf of the EFCC delivered a paper titled “Money Laundering Vulnerability in the Miners and Dealers in Precious Metals and Stones (DPMS) Sector.”
He highlighted the potential money laundering and terrorist financing risks confronting DPMS operators and stressed the importance of adhering to mandatory regulatory obligations.
Assistant Director Kalu Aja of the NFIU spoke on Suspicious Transaction Reporting (STR), emphasising the need for firms within the Non-Financial Institutions and Designated Non-Financial Businesses and Professions (DNFBP) sector to appoint a dedicated compliance staff.
Such personnel, he explained, would be responsible for filing procedural transaction reports and promptly responding to regulatory inquiries.
Murtala Adamu of the EFCC provided a presentation on “How to Submit Statutory Reports,” guiding participants through the process of registering for a SCUML Certificate and detailing the various types of statutory reports required from operators.
The interactive nature of the workshop was described as an “eye-opening” session, making participants realize that their businesses could unknowingly be used to launder illicit funds.
This emphasised the necessity of documenting and reporting all transactions, whether suspicious or not.
In response, Michael Etuk, Vice President of the Ojoo Gemstone Dealers Association, Oyo State, assured the EFCC that gemstone dealers and miners in the state would fulfill all obligatory responsibilities to support the national fight against money laundering and terrorism financing.
