Beneficial ownership register: CAC to begin delisting non-complying firms

The Corporate Affairs Commission(CAC) says it will soon commence the striking off of companies that fail to comply with the Beneficial Ownership Register implementation.

The CAC Registrar-General, Garba Abubakar, made this known at a forum on the usage of the beneficial ownership register.

The Beneficial ownership register is a register available to the public, containing information on the real ownership and control of Companies and Limited Liability Partnerships in the country.

It allows for access to knowledge on ownerships in indigenously owned companies and limited liability partnerships.

It is particularly necessary for addressing graft , illicit financial flows and other offences under the cover of Companies and LLPs, while promoting good governance in Nigerian businesses.

The corporate Affairs Commission recently made this register public and is now going a step further on engaging stakeholders on the modalities.

The Corporate Affairs Commission is sending a note of warning to organisations that fail to comply as there will be zero tolerance for non-compliance.

Organisations not up to date in audit processes are also being noted and would be removed from the register.

The implication of this is that assets or properties held in the company’s name will be vested with the government.

The first 100,000 companies are soon to be removed after which another 100,000 would follow.

Companies who are removed from the register are told that they risk not having access to their funds in the bank, won’t be able to do any contracts nor enter into any business relationship.

The corporate affairs agency says the register would help drive investments into the country, due to its transparency and anti-corruption benefits.