Finance Minister, Mrs Kemi Adeosun, in a memo to the Governor of the Central Bank of Nigeria, Godwin Emefiele, sought the support of Central Bank of Nigeria, in ensuring that Bank Verification Number (BVN) becomes a mandatory requirement needed by account holders in Microfinance Banks (MFBs) to operate such accounts.
She said that operating bank accounts in MFBs without requirement for BVN has left gaps where criminals could latch on and this increased the rate of laundering and also aided escape from the law enforcement agencies.
“Our ongoing efforts to verify the integrity of Federal Government personnel costs and purge the system of fraud and error has made extensive use of the Bank Verification Number as a means of identifying recipients of multiple salaries, and salaries paid into accounts with names that differ to those held on our payroll records. The success of this effort has to date yielded the removal of over 50,000 payroll entries,” she said.
Mrs Adeosun said that this step would facilitate the detection of bank accounts opened and operated for ghost workers by fraudulent syndicates.
She said that the introduction of BVN by the apex bank has contributed immensely in improving the integrity of the Federal Government payroll on which more than 50,000 ghost workers were detected and removed.