The Corporate Affairs Commission (CAC) has issued a six-week ultimatum to all businesses in Nigeria to comply with the provisions of the Companies and Allied Matters Act (CAMA), 2020, or face legal consequences.
In a circular released on Tuesday in Abuja, the Commission warned that failure to meet the registration requirements would attract sanctions, including prosecution.
“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.
It further reminded all entities that Section 729 mandates the display of their “registered name and number outside every business location,” as well as on “all official publications, including letterheads, signage, and marketing and publicity materials.”
Additionally, Section 862(1) imposes penalties on individuals who knowingly make false statements in documents submitted under the Act. The offence carries a two-year prison sentence and a daily fine for every day the violation 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)
What you should know
The CAC is enforcing CAMA 2020 and has given all Nigerian businesses six weeks to meet legal registration and disclosure requirements or face penalties, including prosecution and fines.
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