The Federal Competition and Consumer Protection Commission (FCCPC) has ordered digital money lenders that were subject of its regulatory intervention on March 11 to cease operating.
Executive vice chairman/chief executive officer of the agency Babatunde Irukera gave the directive in a statement issued on Monday.
Some of the loan apps affected are Fast Money, Go Cash, Okash, Kash Kash, Speedy Choice and Easy Moni.
The FCCPC also said it had begun “advanced investigation” of such digital money lenders.
Irukera said the commission also entered and served wide ranging orders on Google LLC (Play Store) and Apple Inc. (App Store) to enforce the withdrawal of certain applications where evidence has established inappropriate conduct or use of the application in violation of the rights of consumers.
“The Order of the Commission also prohibits acceptance and presentation of new applications for the same purpose without regulatory assessment and approval.
“The investigation is still active and ongoing. The JRETF expects further and similar action as it continues to gather additional intelligence to that effect.
“In the interim, the Commission admonishes all the businesses that were subject of regulatory intervention on Friday, March 11, 2022, to cease and desist the interest compounding and loan repayment/collection practices that are the objects of this investigation,” Irukera said.
He, however, noted that in the event that any of those businesses continued, violators would be subjected to the full extent of the law including prosecution.
“The Orders of the Commission are without prejudice to existing borrowers repaying any legitimate loans pursuant to fair and acceptable terms and conditions; or any modifications to previous terms and conditions that are considered onerous, inconsistent with prevailing law or general principles of transparency and fairness,” the statement said.
