WHO HAS THE POWER TO FREEZE A BANK ACCOUNT IN NIGERIA?

The freezing of a bank account is a serious interference with a person’s ability to access and use his or her money. In Nigeria, law enforcement agencies frequently investigate allegations of fraud, money laundering, cybercrime and other financial offences and such investigations may require the preservation of funds suspected to be connected with unlawful activity.

However, the fact that an agency is investigating an allegation does not automatically give it an unrestricted power to indefinitely place a Post-No-Debit (“PND”) restriction on a person’s bank account.

The central legal question is therefore: who actually has the power to freeze a bank account in Nigeria, and under what circumstances can that power lawfully be exercised?