FCCPC says joint committee will shut down money lending businesses as part of enforcement campaign

The Federal Competition and Consumer Protection Commission (FCCPC) has declared that the joint committee set up by the federal government to combat the violation of consumer rights and unfair practices in the money lending industry will close. illegal businesses at the beginning of its application.

The joint committee is made up of representatives from the FCCPC, CBN, Economic and Financial Crimes Commission (EFCC), National Information Technology Development Agency (NITDA) and the National Human Rights Commission. man (NHRC).

According to NAN, this disclosure was made by the Managing Director of the FCCPC, Mr. Babatunde Irukera, during an interview on Sunday in Abuja, saying that the application would start soon.

Read: FCCPC Collaborates with CBN, EFCC, ICPC, NHRC to Fight Harassment of Online Lenders – Babatunde Irukera

What the FCCPC CEO says

Irukera said the committee will also draft interim regulations that money lending companies must abide by.

He explained, “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 into the field and doing enforcement work now, very soon.

“They will shut down businesses and hire app stores to shut down certain infringing and abusive apps.

“We will also be drafting interim regulations and background information for all of these money lenders to provide information so people know who they are.

Read: FCCPC closes Chinese restaurant over racial discrimination

“Some of them are just apps that we don’t even know who the promoters are. So we’re going to provide them with certain frameworks that they have to comply with before doing business.”

Speaking on the growing number of consumer complaints about the services provided by insurance companies, Irukera said the commission was making progress on its memorandum of understanding with the National Insurance Commission (NAICOM).

The FCCPC boss said he hopes to strike a memorandum of understanding early next year as he will have more industry-wide interventions in the space.

He said, “We receive many more complaints about policyholders who have paid their premium and have not been settled and therefore, we are engaging NAICOM on this matter.”

What you should know

Recall that earlier in November 2021, the federal government decided to verify some of the illegal, unsound and unfair practices in the money lending sector with the establishment of a joint committee to remedy the situation.

The acts were quickly becoming a mainstream and abusive practice targeting some of the most vulnerable in society.

The committee, which received more than 500 emails and information regarding the investigation, was expected, through its activities, to lead efforts to combat multiple potentially questionable behaviors by some lenders, otherwise known as loan sharks.

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