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CBN freezes Rise vest, Bamboo, Chaka and others accounts for 6 months

The Central Bank of Nigeria has just frozen the bank accounts of four Nigerian fintech platforms Risevest, Bamboo, Trove, and Chaka for the next six months.

The Whistler reported that the Federal High Court in Abuja has granted an exparte motion which sought temporary freezing of bank accounts belonging to these online investments and trading platforms where Nigerians are transacting business online.

The motion was filed by Chief Micheal Kaase Aondoakaa, SAN, on behalf of the Central Bank Of Nigeria Governor and the purpose is the probing the financial activities of these four fintech companies.

The CBN alleged that Rise Vest Technologies Limited, Bamboo Systems Technology Limited, Chaka Technologies Limited, and Trove Technologies Limited were complicit in operating without a license as asset management companies “and utilizing FX sourced from the Nigerian FX market for purchasing foreign bonds/shares in contravention of the CBN circular referenced TED/FEM/FPC/GEN/01/012, dated July 01, 2015.”

In their responses to the ban, the founder and CEO of Risevest Eke Eleanya Urum and Bamboo have come out on Twitter to assure users of Risevest that trading activities will continue as usual and the issue will be sorted out with the regulators.

Also Bamboo came out on Twitter to assure their users that their money is safe.

There have been reactions from various concerned Nigerians about the development also

It would be recalled that there is a recent move by the CBN to stop the sale of foreign exchange (FX) to Bureau De Change (BDC) operators in the country. Also in April, the Securities and Exchange Commission (SEC) warned the investing public on the proliferation of unregistered online investment and trading platforms, facilitating access to trading in securities listed in foreign markets.

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