CAC Cracks Down: Unregistered PoS Operators Face Shutdown Amid Rising Fintech Fraud

The Corporate Affairs Commission (CAC) has issued a stern warning to Point-of-Sale (PoS) operators across Nigeria, announcing a crackdown on businesses operating without proper registration.....KINDLY READ THE FULL STORY HERE▶

In a statement shared on its Instagram page on Saturday, the CAC noted a rising number of PoS operators running unregistered businesses. The Commission emphasized that such practices violate both the Companies and Allied Matters Act 2020 and the Central Bank of Nigeria’s (CBN) Agent Banking Regulations.

The CAC also accused several fintech companies of exacerbating the issue by onboarding unregistered agents, a move the Commission described as reckless and harmful to Nigeria’s financial system. According to the CAC, these unregulated operations put millions of Nigerians, including small business owners and rural communities, at risk of financial loss and investment fraud.

Deadline for Compliance Set
The Commission made it clear that starting 1 January 2026, no PoS operator will be permitted to conduct business in Nigeria without full CAC registration. Security agencies will enforce compliance nationwide, with unregistered terminals subject to seizure or shutdown by law enforcement.

“Effective 1 January 2026, no PoS operator will be allowed to operate without CAC registration. Security agencies will enforce nationwide compliance. Unregistered PoS terminals will be seized or shut down by security officials,” the CAC stated.

The Commission further warned fintech companies that facilitate illegal operations that they will be monitored closely and reported to the CBN. All PoS operators are expected to regularize their registration immediately, as compliance is mandatory.

Parliamentary Concerns Echo CAC’s Warning
In a related report by The Nation, Olufemi Bamisile, Chairman of the House of Representatives’ ad hoc committee on the Economic, Regulatory, and Security Implications of Cryptocurrency Adoption and PoS Operations, raised alarms over the surge in PoS-related fraud.

Bamisile’s committee highlighted issues including unprofiled agents, cloned terminals, anonymous transactions, and weak Know-Your-Customer (KYC) practices. He warned that these vulnerabilities could lead to significant financial losses, cybercrime, and broader security risks for Nigerians.

The committee’s concerns reinforce the CAC’s call for urgent action to protect the integrity of the financial system and safeguard Nigerians from the dangers posed by unregulated PoS operations.