Exclusive: First Bank sacks over 100 employees after ₦40bn fraud, freezes their personal accounts
First Bank sacked over 100 employees in July 2024, four months after discovering that Tijani Muiz Adeyinka, a manager on the operations team, allegedly diverted ₦40 billion over two years. In details first reported by TechCabal, Adeyinka, who is still on the run, used his authorisation to approve chargebacks to accounts he controlled.
Two people with direct knowledge of the matter claimed that at least 120 employees, including full-time and contract staff of First Bank’s large operations department, were given termination letters in July. The head of transactions at the time was also fired.
Those employees were accused of laxity in carrying out their duties and were told they should have spotted the fraud earlier. First Bank’s management team believed it was impossible for a fraud of that scale and timeline to have been executed without the knowledge of Adeyinka’s superiors.
Read more here: https://techcabal.com/2024/08/05/first-bank-sacks-employees-after-fraud/
MTN Nigeria takes full control of MoMo PSB in a ₦6.95 billion deal
- MTN Nigeria has acquired a 7.17% minority stake in MoMo Payment Service Bank (MoMo PSB) from Acxani Capital for ₦6.95 billion ($4.36 million). This acquisition aims to simplify and strengthen the fintech’s operations.
- Consequently, MoMo PSB is now a wholly-owned subsidiary of MTN Nigeria.
Before this transaction, MTN Nigeria held an 80% stake in MoMo Payment Service Bank (MoMo PSB), while Acxani Capital owned the remaining 20%. In May 2024, Acxani Capital proposed to dispose of its 20% stake, which was reduced to 7.17%.
MTN Nigeria and Acxani Capital agreed on a purchase price of ₦6.95 billion for the 7.17% stake. This transaction resulted in a decrease of ₦12.97 billion in MTN’s “Other Reserves.”
The total expenditure of ₦16.35 billion on this acquisition included the ₦6.95 billion paid to Acxani Capital and an additional ₦9.4 billion invested in MoMo PSB. The transaction also involved acquiring assets valued at ₦3.38 billion from Acxani Capital.
MoMo PSB, which received its operating licence from the CBN in 2022, has demonstrated growth. For the half-year period ending June 30, 2024, the fintech reported revenue of ₦48.6 billion, reflecting an 11% increase from ₦43.6 billion in the same period of 2023.
Read more here: https://techpoint.africa/2024/08/05/mtn-nigeria-takes-over-momo/
New partnership aims to boost Liberia’s mobile money transfer services
BnB, a fintech company that says it is committed to revolutionising financial services in Africa, has launched an initiative that seeks to expand international money transfer services in collaboration with operator Lonestar Cell MTN’s MoMo (a mobile money service).
Late last week the companies launched an outbound international transfer service that, they say, allows customers to send money easily and securely to countries including Ivory Coast, Ghana, Sierra Leone, Guinea, Uganda, Rwanda, Mali and Senegal.
This means, say the partners, that Liberians and other MTN MoMo customers can now send money abroad through mobile money services with ease and convenience.
What you need to know about crypto exchange control regulations
South African cryptocurrency traders are learning about the tax consequences of their dealings under the Income Tax Act. The challenge comes from Sars’ vague advice that “normal rules apply,” leaving ambiguity over when cryptocurrency gains are seen as capital or income. Additionally, Exchange Control Regulations are crucial for those using international exchanges, with the South African Reserve Bank (SARB) keeping a close watch.
Some South African natural persons have leveraged cryptocurrency arbitrage opportunities using their R1m single discretionary allowance (SDA) and R10m foreign investment allowance (FIA).
These opportunities arise because exchange control regulations limit the amount of South African assets natural persons can externalise annually, creating price differences between local and international cryptocurrency markets.
Read more here: https://www.bizcommunity.com/article/what-you-need-to-know-about-crypto-exchange-control-regulations-361778a
Breaking: Access Bank reduces its stake in Botswana subsidiary to comply with regulations
Access Bank Plc, the pan-African bank present in 16 markets, reduced its stake in its Botswana subsidiary to comply with the listing requirements of the Botswana Stock Exchange (BSE). From 2019, the BSE has required listed companies to have a minimum of 30% of their shares available to the public for trading.
Between June 27 and 28, Access Bank Plc sold 59 million shares for P116 million ($8.6 million), reducing its stake from 78.15% to 70%.
“Through this sell down, we have now achieved a critical element of compliance expected by the BSE, which not only adheres to regulatory standards but also presents an opportunity for enhancing market dynamics and our shared value story by welcoming new shareholders,” said Access Bank Botswana managing director Sheperd Aisam in a statement to TechCabal.
Read more here: https://techcabal.com/2024/08/05/access-bank-botswana-shareholding/
E-payment transactions surge: UBA ranked most visited banking website in Nigeria
Thanks to the availability of online banking, certain banks have experienced growth in their digital channels. According to Semrush data, UBA ranked number one, with 2.36 million visits in June 2024.
According to the Nigeria Inter-Bank Settlement System’s (NIBSS) latest data, Nigeria’s e-payment transactions surged to N234 trillion in the first quarter of 2024.
This marked an 89.3 percent increase from the N123.8 trillion recorded in the same period in 2023.
The development showed a notable increase in growth, showcasing the expanding digital presence in the country’s financial landscape.
Read more here: https://www.zawya.com/en/business/banking-and-insurance/e-payment-transactions-surge-uba-ranked-most-visited-banking-website-in-nigeria-mpwoaxil
Cryptocurrency Prices Plunge as Investors Sell Off Risky Assets
The cryptocurrency market experienced a significant downturn Sunday and Monday (Aug. 4-5), resulting in a loss of approximately $367 billion in value over a 24-hour period.
This plunge was primarily driven by substantial drops in the prices of bitcoin and ether, the two largest cryptocurrencies, CNBC reported Monday.
The decline in the crypto market coincided with a broader slide in equities across Asia-Pacific markets and the Nasdaq’s worst three-week stretch in two years, according to the report.
The crypto market’s sharp decline was driven by investors selling off risky assets, the report said. Bitcoin, the world’s largest cryptocurrency, experienced a 15% drop in 24 hours, reaching its lowest level since February. Ether, the native token of the Ethereum blockchain, plummeted by 22%, erasing its gains for the year.
Read more here: https://www.pymnts.com/cryptocurrency/2024/cryptocurrency-prices-plunge-as-investors-sell-off-risky-assets/
Blend and Astra Partner on Card Funding of Deposit Accounts
Blend and Astra have partnered to enable financial institutions to add card funding to their deposit accounts.
With this collaboration, financial institutions that use Blend’s platform for digital banking solutions will also be able to use Astra’s instant-payments-as-a-service offering to enhance the digital onboarding experience for consumers looking to fund their new deposit account, the companies said in a Monday (Aug. 5) press release.
“By eliminating the need to find and enter routing and account numbers that are required with ACH transfers, debit card funding offers a quicker and more seamless account funding process, enabling consumers to activate new accounts for use in a single session,” Blend said in the release.
Read more here: https://www.pymnts.com/partnerships/2024/blend-and-astra-partner-on-card-funding-of-deposit-accounts/
