Why CBN blocked accounts of Rise Vest Technologies, 5 others

More facts are beginning to emerge on why the Central Bank of Nigeria blocked the operating accounts of six fintech companies for the next six months pending the completion of investigations.

The firms are Rise Vest Technologies Limited, Bamboo Systems Technology Limited, Bamboo Systems Technology Limited OPNS, Chaka Technologies Limited, CTL/Business Expenses, and Trove Technologies Limited.

A Federal High Court in Abuja recently granted the request of the CBN to freeze the accounts of these, alleging illegal foreign exchange trading that has contributed to the dwindling fortune of the Naira.

The CBN alleged that Rise Vest Technologies Limited, Bamboo Systems Technology Limited, Chaka Technologies Limited and Trove Technologies Limited operate in Nigeria without licenses as asset management companies and utilize forex sourced from the Nigerian foreign exchange market for purchasing foreign bonds/shares in contravention of its circular.

The apex argued that the foreign exchange deals with the defendants contributed to the devaluation of the Naira, hence the need to block their accounts for 180 days.