Capital market operators have been barred from dealing with the sanctioned individuals and companies and must report frozen assets and suspicious transactions to Nigerian authorities…..
The Securities and Exchange Commission has ordered capital market operators to immediately freeze the funds, assets and other economic resources belonging to six individuals and three Bureau De Change companies recently designated as terrorist financiers by the Nigeria Sanctions Committee.
The directive was contained in a circular issued to all Capital Market Regulated Entities on Friday, with the commission invoking provisions of the Terrorism Prevention and Prohibition Act 2022 and Nigeria’s sanctions framework.
Those named on the sanctions list are Babangida Muhammed Adamu Hammajam, Abdullahi Umar Usman, Ibrahim Abubakar, Adamu Chiroma, Muktar Muhammad Adamu and Yakubu Ogirima Ibrahim.
The three companies affected by the directive are Nine to Nine BDC Ltd, Generation Currency BDC Ltd and Abbal Bako & Sons Bureau de Change.
The SEC directed regulated entities to take immediate action once they identify accounts, assets or economic resources connected to any of the designated persons or companies.
SEC details allegations against sanctioned persons
According to the commission, Hammajam was designated on June 18, 2026, over alleged involvement in terrorism financing and active support for the Islamic State West Africa Province.
Usman was listed over alleged material assistance to a designated terrorist organisation through repeated financial transactions, while Abubakar was designated over alleged terrorism financing and direct membership of ISWAP.
The commission also linked Chiroma to the movement of funds allegedly associated with terrorist activities through Bureau De Change operations and related corporate entities.
Muktar Adamu, who was designated on June 15, 2026, was accused of facilitating financial network operations connected to the ISWAP Okene cell.
Ogirima Ibrahim was similarly listed over alleged financial and material support for the ISWAP Kogi cell.
The SEC said the three BDC companies were also linked to the alleged Okene financing network through the channelling of funds.
Under the directive, capital market operators are required to identify and freeze the assets and economic resources of the designated persons and entities without giving them prior notice.
The affected operators must then submit compliance reports to the Secretariat of the Nigeria Sanctions Committee, including details of assets that have been frozen and any attempts to carry out transactions involving the sanctioned parties.
The SEC also instructed regulated firms to file Suspicious Transaction Reports with the Nigerian Financial Intelligence Unit for further analysis.
The commission stressed that name matches involving the designated individuals or entities must be treated as suspicious transactions, regardless of whether the transaction occurred before or after the sanctions list was received.
Beyond freezing assets, the SEC prohibited capital market operators from conducting business with the designated individuals and companies.
Regulated firms were further instructed to maintain continuous monitoring of accounts and transactions to prevent sanctioned funds or assets from being moved through the capital market.
The latest action comes as Nigerian authorities intensify efforts to disrupt the financial networks supporting terrorist organisations, particularly those operating across the North-East and North-Central regions.
Bureau De Change operators have remained an area of regulatory concern because of their exposure to illicit foreign exchange transactions, money laundering and other financial crimes.
The commission warned that the directive takes immediate effect and that failure to comply could attract serious regulatory consequences.
According to the SEC, violations could amount to breaches of the Investments and Securities Act 2025 and the commission’s Anti-Money Laundering and Combating the Financing of Terrorism Rules and Regulations.
Non-compliant operators could face financial penalties, suspension of operations or revocation of their licences.
The directive effectively places the responsibility on capital market operators to ensure that funds connected to the sanctioned individuals and entities cannot be accessed, transferred or used within the regulated financial system.
The SEC’s latest move forms part of the broader effort by Nigerian regulators to close financial channels that could be exploited to fund terrorism and related activities.
