SEC orders operators to freeze ISIS-linked accounts

By Peter Egwuatu & Chukwunonso Okolo The Securities and Exchange Commission (SEC) has directed operators in Nigeria’s capital market to immediately identify and freeze funds, assets and other economic resources linked to a Nigerian citizen and three Nigerian companies sanctioned by the United States Government for allegedly facilitating financial transactions connected to the Islamic State of Iraq and Syria (ISIS) and ISIS-West Africa.

The directive, contained in a circular titled ‘Notice of Sanction’ posted on the commission’s website, requires all Capital Market Regulated Entities (CMREs) to freeze the assets of the designated individual and entities without prior notice and report the action to the Secretariat of the Nigeria Sanctions Committee.

Beyond the asset freeze, the SEC directed capital market operators to immediately file suspicious transaction reports with the Nigerian Financial Intelligence Unit (NFIU) for further analysis of the financial activities linked to the designated individual and companies.