A joint committee set up by the federal government to look into issues of violation of consumer rights and unfair practices in the money lending industry is set to shut down illegal businesses operating in the sector.
This was disclosed by the Chief Executive Officer of Federal Competition and Consumer Protection Commission (FCCPC), Mr Babatunde Irukera, disclosed in an interview.
In November 2021, the federal government moved to check some of the illegal, unwholesome and unfair practices in the money lending industry with the setting up of a joint committee to address the situation.
The acts were fast becoming a dominant and abusive practice targeting some of the most vulnerable in society.
The committee that received over 500 electronic mails and information in respect of the investigation was expected to through their activities lead efforts to address multiple potentially dubious conducts of certain money lenders, otherwise known as loan sharks.
The joint committee is made up of representatives from FCCPC, the CBN, the Economic and Financial Crimes Commission (EFCC), National Information Technology Development Agency (NITDA) and the National Human Rights Commission (NHRC).
Irukera said that the committee would also be writing interim regulations, which money lending companies must comply with.
He said: “The joint committee is meeting and agreeing on how to proceed but I can say that two of the entities of the joint committee will be going on the field and doing enforcement work very shortly.
“They will be closing down businesses and engaging App stores to shut down certain applications that are infringing and abusive.
`We are also going to be writing interim regulations and some basic information for all these money lenders to provide information so that people will know who they are.
“Some of them are just Apps that we do not even know who the promoters are. So we are going to provide certain frameworks for them to comply with before doing business.’’
