Kelechi Mgboji

Nigeria’s Securities and Exchange Commission (SEC) has directed the immediate freezing of assets belonging to 13 individuals and entities alleged to be linked to terrorism financing within the capital market.

The directive, issued early Monday ahead of market reopening, follows the inclusion of the affected persons on the Nigeria Sanctions List by the Nigeria Sanctions Committee.

According to the SEC, the action is backed by the provisions of the Terrorism (Prevention and Prohibition) Act, 2022, which empowers authorities to freeze without prior notice all funds, assets, and economic resources connected to designated individuals or organisations.

Affected individuals and firms

The sanctions list includes 10 individuals—among them Abdurrahaman Musa Ado, Bashir Ali Yusuf, Ibrahim Ali Alhassan, and Muhammad Ibrahim Isah—as well as three companies: Alin Yar Yaya General Enterprises, Are Nigeria Limited, and Suhailah Bashir General Enterprises.

Compliance directives to market operators

The SEC has instructed all Capital Market Operators (CMOs) and stakeholders to:

• Identify and freeze all accounts linked to the listed individuals and entities immediately
• Report frozen assets and attempted transactions to the Nigeria Sanctions Committee
• File Suspicious Transaction Reports with the Nigerian Financial Intelligence Unit (NFIU)
• Monitor and block any future dealings involving the sanctioned parties

The commission stressed that the freeze extends to jointly owned assets, funds held through intermediaries, and proceeds derived from such assets.

Background to the sanctions

Regulatory disclosures indicate that several of the individuals were previously convicted by an Abu Dhabi Federal Court of Appeal in 2019 for financing terrorism linked to Boko Haram. The offences reportedly involved raising funds in Dubai and transferring them to Nigeria to support extremist activities, with sentences ranging from 10 years imprisonment to life.

The listed companies are  connected to individuals already convicted of terrorism-related crimes, highlighting the use of corporate entities as channels for illicit financial flows.

Broader implications

The SEC describes asset freeze as a preventive measure aimed at disrupting financial support systems for terrorism, rather than a punitive action.

It warned that non-compliance could attract severe penalties, including civil and criminal sanctions, as well as reputational damage for institutions involved.

The directive also applies beyond traditional financial institutions, extending to designated non-financial businesses and professions, signaling a wider enforcement net across Nigeria’s financial system.

What this means

The move underscores Nigeria’s tightening stance on anti-money laundering and counter-terrorism financing measures. Market operators are now expected to strengthen real-time monitoring systems, ensure rapid name screening, and act swiftly on compliance requirements.

Analysts say it aligns with global financial integrity standards and reflects ongoing efforts to curb illicit financial flows, particularly as Nigeria seeks to maintain credibility in international financial markets.