Section 124-132 BOFIA 2020

Section 124-132 BOFIA 2020

Section 124 to 132 of the Bank and Other Financial Institutions Act 2020 is part of CHAPTER E [SPECIAL TRIBUNALS FOR THE ENFORCEMENT AND RECOVERY OF ELIGIBLE LOANS] of the Act.

Section 124 BOFIA 2020

Request for an Expert

(1) The Tribunal shall, upon an application by any of the parties or on the Tribunal’s own motion, decide that an independent expert opinion is required.

(2) Where the Tribunal decides in accordance with subsection (1) of this section, it shall request that the lead expert assigns an expert to the case.

(3) Any expert appointed under sub section (2) of this section shall provide the opinion within such time as may be prescribed by the Tribunal.

(4) Notwithstanding the provisions of this section or section 123, the opinion of the experts provided to the Tribunal, is advisory and not binding on the Tribunal.

Section 125 BOFIA 2020

Right to Legal Representation

A party may appear either in person or authorise one or more legal practitioners to represent it before the Tribunal.

Section 126 BOFIA 2020

Powers of the Tribunal and President of the Tribunal

(1) The Tribunal shall have all the inherent powers of a superior court of record and shall give its judgment in writing and may make or impose sanctions but not limited to penalties, suspensions, withdrawal of registration or licenses, specific performance, or restitution, imprisonment and such other sanctions as it may deem appropriate in each case.

(2) A certified true copy of the decision of the Tribunal shall be supplied to the parties upon request, subject to payment of the prescribed fees.

(3) The Tribunal shall have the power to enforce its judgment and accordingly, may commit any person for contempt.

(4) An award or judgment of the Tribunal shall be enforced as if it were a judgment of the Federal High Court or State High Court or High Court of the Federal Capital Territory upon registration of a copy of such award or judgment with the Chief Registrar of the Federal High Court or State High Courts or High Court of the Federal Capital Territory by the Tribunal.

Section 127 BOFIA 2020

Appeal to the Court of Appeal

(1) Any person dissatisfied with a decision of the Tribunal may appeal against such decision to the Court of Appeal if-
(a) it is a final decision, on points of law or mixed law and fact; or
(b) it is an interlocutory decision of the Tribunal, on points of law only.

(2) The Court of Appeal shall hear and determine all appeals emanating from the Tribunal on an accelerated basis and in priority to all other appeals, and for this purpose the President of the Court of Appeal shall issue or cause to be issued
special practice directions for the Court of Appeal exclusively for the expedited and accelerated hearing and determination of appeals emanating from the Tribunal.

SEE ALSO  Section 1-14 BOFIA 2020

Section 128 BOFIA 2020

Further Appeal

(1) An appeal against the decision of the Court of Appeal at the instance of either party shall lie to the Supreme Court.

(2) The Supreme Court shall hear and determine all appeals emanating from the Court of Appeal in relation to appeals against the Court of Appeal’s decisions on appeals to the Court of Appeal from the Tribunal on an accelerated basis
and in priority to all other appeals, save election petition matters and appeals emanating from specially designated courts in pursuance of the Asset Management Corporation of Nigeria Act (as amended), and for this purpose the Chief
Justice of Nigeria shall issue or cause to be issued special practice directions for the Supreme Court exclusively for the expedited and accelerated hearing and determination of such appeals.

Section 129 BOFIA 2020

Protection of members of Tribunal

(1) The President of the Tribunal, members of the Tribunal or any other person acting judicially shall not be liable to be sued in any court for any act done or ordered to be done by him in the discharge of his judicial duty, whether or not
within the limits of the Tribunal’s jurisdiction.

(2) No officer of the court or other person bound to execute the lawful warrant or orders of the Tribunal shall be liable to be sued in any court, for the execution of any warrant or order which such person would be bound to execute, if within the jurisdiction of the person issuing the same.

(3) No action shall be brought against any member or staff of the Tribunal in respect of any act or order performed in the execution, or intended execution of the powers or jurisdiction vested in him, except such act or order is in excess of the powers and jurisdiction of the Tribunal.

Section 130 BOFIA 2020

Interpretation

In this Act, unless the context otherwise requires-
associate” means a company in which another company owns not less than 20 per cent of the paid-up share capital;
bank” means a bank licensed under this Act;
Bank” means the Central Bank of Nigeria;

Bankers’ Committee” means a committee comprising the Bank, the chief executives of all banks and such other members as the Committee may from time to time admit;
banking business” means the business of receiving deposits on current account, savings deposit account or other similar account, paying or collecting cheques, drawn by or paid in by customers; provision of finance consultancy and advisory
services relating to corporate and investment matters, making or managing investments on behalf of any person whether such businesses are conducted digitally, virtually or electronically only or such other business as the Governor may, by order published in the Gazette, designate as banking business;

Board” means the Board of Directors of the Central Bank of Nigeria;
chief executive” means a person, by whatever name called, who either individually or jointly with one or more other person, is responsible, subject to the authority of the board of directors, for the conduct of the business and administration of the
bank; specialised bank or other financial institution;
the Corporation” means the Nigeria Deposit Insurance Corporation;
deposit” means money lodged with any person whether or not for the purpose of any interest, profit or dividend and whether or not such money is repayable upon demand upon a given period of notice or upon a fixed date;
Deputy Governor” means a Deputy Governor of the Central Bank of Nigeria;
director” includes any person by whatever name such person may be referred to, carrying out or empowered to carry out substantially the same functions of a director in relation to the affairs of a company incorporated under the Companies and Allied Matters Act;
eligible loan” means any credit facility, overdraft, loan, risk asset to the tune of at least N25,000,000.00 (Twenty Five Million Naira) or such other amount as may be prescribed by the Bank which repayment obligations have become due for not less than 90 days and has been designated by an instrument under the hand of the Governor as being eligible for enforcement and recovery before the Tribunal;
factoring” means the business of acquiring debts due to any person;
Federation” means the Federal Republic of Nigeria;
Governor” means the Governor or any of the Deputy Governors appointed to act on behalf of the Governor of the Central Bank of Nigeria;
leasing” means the business of letting or sub-letting movable property on hire for the purpose of the use of such property by the hirer or any other person in any business whatsoever and where the lessor is the owner of the property regardless of
whether the letting is with or without an option to purchase the property;
licence” means a licence issued under this Act;
non-interest bank” otherwise known as profit and loss sharing bank, means a bank which transacts banking business, engages in trading, investment and commercial activities as well as the provision of financial products and services in accordance with the principles and rules of Islamic finance;
non-interest banking instruments“, means instruments that do not pay interest but which may entitle the holder thereof to profit in conformity with principles and rules of Islamic finance;
other financial institution” means any individual, body, association or group of persons; whether corporate or unincorporated other than the banks licensed under this Act, which carry on the business of a discount house, bureau de change, finance company, money brokerage, authorized buying of foreign exchange, International Money Transfer Services, mortgage refinance company, mortgage guarantee company, financial holding company or payment service providers regardless of whether such businesses are conducted digitally, virtually or electronically only and companies whose objects include factoring, project financing, equipment leasing, debt administration, fund management, private ledger services, investment management, local purchases order financing, , and such other business as the Bank may from time to time, designate regardless of whether such businesses are conducted digitally, virtually or electronically only;

SEE ALSO  Banks and Other Financial Institutions Act [BOFIA] 2020

‘‘payment, clearing, or settlement activity’’ means an activity carried out by one or more financial institutions to facilitate the completion of financial transactions, but shall not include any offer or sale of a security under the Investment and Securities
Act;
Payment Service provider” means an entity licenced by the Bank to provide payment service;
Payment Service” means technical or technology infrastructure, software solutions or services for facilitating end-to-end electronic payment to third parties and such other services as the Governor may by regulation designate;
President” means the President, Commander-in-Chief of the Armed Forces of the Federal Republic of Nigeria;
related party” includes spouse, father, mother, child, brother, sister, uncle, aunt and cousins where applicable, and their spouses and such other relationships as the Bank may by regulation prescribe from time to time;
shareholders funds” means the aggregate of paid-up share capital, statutory and all other reserves of a bank, specialised bank or other financial institution;

significant shareholder” means a person or entity who –
(a) beneficially owns 5 per cent or more of the paid-up share capital of a bank, specialised bank or other financial institution; or
(b) is entitled to cast a majority of the votes that may be cast at a general meeting of the bank, specialised bank or other financial institution or has the ability to control the voting of a majority of those votes, either directly or through a controlled entity; or
(c) is able to appoint or to veto the appointment of a majority of the directors of the bank, specialised bank or other financial institution.
significant shareholding” shall be construed accordingly;
specialised banks” include, Bank of Industry, Bank of Agriculture, Development Bank of Nigeria, Nigerian Export Import Bank, The Infrastructure Bank, Federal Mortgage Bank of Nigeria, Nigeria Mortgage Refinancing Company, primary mortgage banks, micro-finance banks, non interest bank and such other banks as may be designated from time to time by the Bank; and
State” means any of the States of the Federation.

SEE ALSO  Section 95-101 BOFIA 2020

Section 131 BOFIA 2020

Repeal

The Banks and Other Financial Institutions Act 1991 (as Amended) is hereby repealed.

Section 132 BOFIA 2020

Citation

This Act may be cited as the Banks and Other Financial Institutions Act, 2020.

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Inioluwa Olaposi

Hi, there. I'm Inioluwa, founder of LawHub NG. I study Law at Obafemi Awolowo University, Nigeria. And I am interested in entrepreneurship and human development. Contact me at Inioluwa@lawhub.com.ng.

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