The Economic and Financial Crimes Commission (EFCC) has warned real estate agents in the country to be wary of those who may want to use them as conduit pipes for money laundering.
The anti-graft agency advised real estate agents to join the commission in the fight against corruption.
It expressed the determination to fight financial crime through enforcement of all regulations in order to guide against sharp practices and money laundering, especially in the real estate sector.
The Ilorin Zonal Commander of the commission, Michael Nzekwe, said this in Ilorin, Kwara State capital, when he hosted executive members of the state’s chapter of Estate Rent and Commission Agent Association of Nigeria (ERCAAN), led by its chairman, Adewole Onibokun.
Nzekwe said,
“Real estate is an avenue through which corrupt Nigerians launder proceeds of crime. I was delighted when I got your letter that you would be coming to us on a courtesy visit because I know the visit will offer us the opportunity to discuss how we can deal with this issue.”
The EFCC zonal commander described the association as one of the critical stakeholders in the fight against corruption, admonishing its members to shun all acts of malfeasance.
He urged them to pay serious attention to the provisions of the new Money Laundering Act, 2022 (as amended) and the Advance Fee Fraud Act and other Fraud Related Offences Act, 2006.
Nzekwe warned that “ignorance of the law is not an excuse,” adding: “The commission will go after anyone that violates any of the extant laws guiding the operation of the real estate agencies in the country.”
The anti-graft chief urged his guests to acquaint themselves with the laws and regulations guiding the real estate sector, particularly Section 3 of the AFF Act, 2006.
According to him, the section stipulates that “a person who, being the occupier or is concerned in the management of any premises, causes or knowingly permits the premises to be used for any purpose which constitutes an offence under this Act commits an offence and is liable on conviction to imprisonment for a term not more than 15 years and not less than 5 years without the option of a fine”.
Nzekwe said this provision of the law places serious responsibilities on real estate agents to make “Know Your Customer (KYC)” a precondition in dealing with home renters to free them of liabilities, in case of any breach of the law.
The EFCC zonal commander urged ERCAAN members to ensure compliance with the regulation that requires registration and certification of their businesses by the Special Control Unit against Money Laundering (SCUML).
He also admonished them to report cases of suspicious transactions to appropriate agencies, as required by the law.
Onibokun had expressed the willingness of ERCAAN members to assist the EFCC in fighting money laundering and other financial crimes in the real estate sector.
“We recognise the role the EFCC plays in checkmating corruption in the society. We recognise that the commission has value to add to our businesses, hence we are here today to partner with you,” he said.
