BY FESTUS OKOROMADU, ABUJA
The Federal Competition and Consumer Protection Commission said it has delisted two firms for compromising regulatory guidelines.
In addition, the Commission said it has updated its list of registered and approved digital money lenders to avoid illegal practices.
The action, the Commission said, was due to resurgence in the occurrence of prohibited loan recovery methods and practices in the past weeks.
The companies permanently delisted are Sycamore Integrated Solutions Limited, Orange Loan and Purple Credit Limited.
They were delisted for infringements and duplicity which was a way the owners of the apps could indulge in prohibited conducts.
In a press release signed by the Chief Executive Officer, Babatunde Irukera, it was noted that the Commission’s investigations and continuing surveillance demonstrate that the vast majority of the resurging infringements are not by otherwise approved/listed DMLs approved to be on Playstore and other financial services providers.
He disclosed that the violating DMLs have resorted to the use of Android Package Kits (APK) file formats, adding that the illegal DMLs provide links to consumers to visit unregistered websites using their Android devices/phones.
“In the course of that interaction, consumers’ private information that is otherwise protected and prohibited from access or download by DMLs or their apps is accessed and downloaded.
“In the course of the Commission’s continuing investigation and tracking of these illegally operating DMLs, the Commission has discovered duplicity by at least two otherwise legally registered DMLs on the Commission’s approval list,” the statement read.
Irukera also spoke on the case of duplicity of some of the approved apps on the commission’s list. He said this was a way the owners of the apps could indulge in prohibited conducts.
The Commission reiterated that this revocation and action were permanent without option or opportunity of reconsideration and the same consequence shall apply to all other violators as the Commission discovers them.
In addition, all the information and evidence available with respect to those businesses will be transferred to law enforcement agencies and or any other relevant regulator(s).
The Commission has also placed DMLs that have refused or failed to register under the guidelines on its watch list for strict surveillance and necessary action.
The Commission also advised consumers to exercise restraint and discretion in selecting DMLs, and specifically recommended that consumers patronise only DMLs on the Commission’s approved list to diminish, if not eliminate, being victims of illegal and prohibited lending and recovery practices.
