Oshiomhole Seeks Tougher Regulation of Fintech Firms After Cyber Fraud Experience

Oshiomhole Seeks Tougher Regulation of Fintech Firms After Cyber Fraud Experience

Senator Adams Oshiomhole, representing Edo North, has called on the National Assembly to intensify regulatory oversight of financial technology (fintech) operators, warning that many platforms outside mainstream banking are increasingly being used for fraudulent transactions.

Speaking during Thursday’s plenary on a bill to amend the Banks and Other Financial Institutions Act (BOFIA), Oshiomhole urged lawmakers to scrutinize the proposed changes thoroughly to ensure all regulatory loopholes are closed. The bill seeks proper designation, registration and stronger supervision of systemically important financial institutions.

Sharing a personal experience, Oshiomhole revealed that cybercriminals who hacked his bank account channelled the stolen funds through OPAY and Moneypoint, rather than through traditional banks.

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“When they hacked into my account, I found that all the institutions used were OPAY and Moneypoint—none of the registered banks were used,” he said. He added that many such fintech operators lack physical branches, do not employ significant local labour, and show little social responsibility.

The former Edo governor argued that the amendment will help set minimum operational and regulatory benchmarks for technology-driven financial service providers, noting the lack of transparency around their ownership structures.
“For example, I know all the directors of First Bank, Access Bank and Zenith Bank, but I don’t know the directors of OPAY or Moneypoint,” he said.

He warned that if any major fintech platform collapses, government would ultimately bear the burden of protecting Nigerians who lose their funds.

Oshiomhole stressed that the National Assembly must strengthen the legal framework, as laws carry greater force than Central Bank of Nigeria (CBN) guidelines.

The bill, sponsored by Senator Tokunbo Abiru of Lagos East, scaled second reading after deliberation.

Oshiomhole Seeks Tougher Regulation of Fintech Firms After Cyber Fraud Experience