CAMA 2020: CAC gives Nigerian businesses six weeks ultimatum

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The Corporate Affairs Commission (CAC) has given all businesses operating in Nigeria a six-week ultimatum to comply with the registration requirements of the Companies and Allied Matters Act (CAMA), 2020.

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The commission, in a circular issued on Tuesday in Abuja, said that after the ultimatum, it would take necessary action against erring offenders who fail to comply.

”This includes legal action against any Company, Limited Liability Partnership, Limited Partnership or Business Name found operating without registration or under a name different from its registered identity.

“It is a criminal offence under Section 863 of CAMA to carry on business in Nigeria without proper registration, or to use a name or acronym other than that under which the entity is legally registered,” it said.

According to the statement, Section 729 of the Act mandates all registered entities to display their registered name and number outside every business location.

It said that this should also be displayed on all official publications, including letterheads, signage, marketing and publicity materials.

It also said that Section 862(1) of the Act imposed strict penalties on individuals who knowingly made false statements in any document required under the Act.

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According to the CAC, such offenders risk a two-year prison term and a daily fine for each day the infraction continues.

The commission therefore advised all business owners to take immediate steps to regularise their operations, stating that non-compliance would be met with swift enforcement actions.

(NAN)