Monday , October 18 2021
Forex: CBN Seeks IATA Support to Curb ‘Ticket Renting’ in Nigeria

Forex: CBN Seeks IATA Support to Curb ‘Ticket Renting’ in Nigeria



The Central Bank of Nigeria (CBN) has called for the support of the International Air Transport Association (IATA) to curb ‘Ticket renting’ in Nigeria.

Ticket renting is a nefarious activity where air tickets are being issued to unscrupulous persons for the fraudulent purchase of BTA and then voided once the economic fraud has been committed.

This was disclosed by IATA via a memo titled “Issuance of Tickets for the Fraudulent Purchase of BTA”, issued to the National Association of Nigerian Travel Agencies (NANTA) calling for their cooperation to tame the menace, which the CBN described as economic sabotage, as it constitutes a leakage in its foreign exchange supply system.

The memo, which was signed by the Head of Account Management, West and Central Africa, IATA, Samson Fatokun, stated, “The Central Bank of Nigeria (CBN) called my attention to the criminal practice of air tickets being issued to unscrupulous persons for fraudulent purchase of BA and same tickets are voided the same day once the economic fraud has been committed. This nefarious activity amounts to economic sabotage as it constitutes a leakage in the CB foreign exchange supply system.

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“Issuing tickets for the sole purpose of purchasing BTA and voiding those tickets thereafter, termed “Ticket renting, is fraudulent and amounts to participating in economic sabotage. You are advised to alert your members about this fraudulent practice and warn that whichever agent that might be involved in this economic sabotage to desist from it. The Central Bank of Nigeria expects our utmost cooperation.”

It was reported that some deposit money banks acting on the directive of the Central Bank of Nigeria (CBN) have sent notices to their customers warning that identities and Bank Verification Number (BVN) of those who contravene the apex bank’s new forex policy on overseas personal and business travels will be published.

The CBN had also directed that travelers who buy foreign exchange from banks for travel purposes but fail to embark on the trip after 2 weeks of their scheduled travel date must return the forex to the banks.

The CBN Governor, Godwin Emefiele during the Monetary Policy Council meeting which was held on Friday, September 17, 2021 warned that the apex bank will hunt Nigerians who buy forex for Personal Travel purposes and later cancel such trips.

The banks in their notices also pointed out consequences for those customers who engage in fraudulent and unethical practices with regards to the purchase of Personal Travel Allowances (PTA) and Business Travel Allowances (BTA).

 

Ticket Renting


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