CBN Freezes Accounts Linked To Terror Financing Suspects, BDCs

The Central Bank of Nigeria (CBN) has directed all banks, payment service banks, and other regulated financial institutions to immediately freeze accounts, assets, and transactions linked to six individuals and four Bureau De Change (BDC) operators designated for alleged involvement in terrorism financing.

The directive, contained in a circular dated June 24, 2026, with reference number CMD/FCS/PUB/CIR/002/011, follows the latest update to the Nigeria Sanctions List and forms part of ongoing efforts by Nigerian authorities to disrupt financial networks linked to terrorist activities.

According to the apex bank, the sanctions, which took effect on June 18, 2026, are binding on all regulated institutions and must be implemented without delay.

In the circular, the CBN informed financial institutions of fresh sanctions issued by the Nigeria Sanctions Committee (NIGSAC) in collaboration with the United States Department of the Treasury’s Office of Foreign Assets Control (OFAC) under Executive Order 13224, as amended.

The affected Bureau De Change operators include Generation Currency Bureau De Change Limited, Manhattan Bureau De Change Limited, Nine to Nine Exchange Bureau De Change Limited, and Abbal Bako & Sons Bureau De Change Limited.

The regulator instructed financial institutions to identify and immediately freeze, without prior notice, all funds, assets, and economic resources belonging to or controlled directly or indirectly by the designated individuals and entities.

“The freezing obligation extends to all funds or other assets that are owned or controlled by designated persons and entities, and to entities owned, directly or indirectly, to the extent of 50 per cent or more by designated persons,” the CBN stated.

The apex bank further directed regulated institutions to ensure that no funds, financial services, or economic resources are made available to the sanctioned individuals or entities, either directly or through intermediaries.

Financial institutions were also advised to file Suspicious Transactions Reports (STRs) with the Nigerian Financial Intelligence Unit (NFIU) where necessary and maintain strict compliance with anti-money laundering and counter-terrorism financing regulations.

The latest action follows recent sanctions imposed by the United States government on Mukhtar Muhammad, a Lagos-based Bureau De Change operator, over alleged links to terrorism financing.

In a statement released earlier this week, OFAC accused Muhammad, also known as Mukhtar Adamu Muhammad, of facilitating financial transactions and money transfers on behalf of the Islamic State West Africa Province (ISWAP), the regional affiliate of the Islamic State terrorist group operating in parts of Nigeria and the Lake Chad Basin.

The U.S. agency also designated three companies allegedly associated with Muhammad—Nine To Nine Exchange Bureau De Change Limited, Generation Currency Bureau De Change Limited, and Manhattan Bureau De Change Limited—claiming that the firms were used to move and channel funds for the terrorist organisation.

The sanctions are part of broader domestic and international efforts to combat terrorism financing, strengthen financial system integrity, and prevent illicit funds from being used to support extremist groups operating within and beyond Nigeria’s borders.

Analysts say the move underscores increasing cooperation between Nigerian authorities and international partners in tracking financial flows linked to terrorism and enforcing compliance with global counter-terrorism financing standards.

The latest sanctions come amid intensified scrutiny of the Bureau De Change sector and renewed efforts by regulators to strengthen oversight of financial institutions vulnerable to money laundering and terrorism financing risks.