2. The Establishment of the Nigerian Financial Intelligence Unit (NFIU) in 2005 is another handshake across the Nigerian boarders in realising the dream of a society free from financial crimes. The NFIU draws its powers from the money laundering (prohibition) Act of 2004 and the Economic and Financial Crimes Commission Act of 2004. It is the central agency for the collection, analysis and dissemination of information on money laundering and terrorism financing. All financial institutions and designated non-financial institutions are required by law to furnish the NFIU with details of their financial transactions. Provisions have been included to give the NFIU power to receive suspicious transaction reports made by financial institutions and non-designated financial institutions, as well as to receive reports involving the transfer to or from a foreign country of funds or securities exceeding $10,000.00 in value. The NFIU is a significant component of the EFCC. It compliments the EFCC’s directorate of investigations but does not carry out its own investigations. The NFIU fulfils a crucial role in receiving and analysing Suspicious Transaction Reports (STRs).

The government has collaborated with the Financial Action Task Force (FATF) in the fight against financial crimes. In May 2006, the FATF visited Nigeria to conduct an evaluation of the revisions made to the government’s Anti-Money Laundering Regime. FATF recognised the progress Nigeria made in implementing Anti-Money Laundering Policies, the establishment of a Financial Intelligence Unit (FIU) and the progress of Money Laundering Investigations, prosecution and conviction. As a result, Nigeria was removed from the list of Non-Corporative Countries and territories (NCCT).

Nigeria is a party to 1988 UN Drug Convention, the UN Convention against Trans-national organised crime, the UN International Convention for the suppression of the financing of Terrorism and UN Convention against Corruption.

To further advance her interest, Nigeria has a mutual legal Assistance Treaty with the United States, which came into Force in January 2003. Nigeria has signed memoranda of understanding with Russia, Iran, India, Pakistan and Uganda to facilitate co-operation in the fight against money laundering. Nigeria has also signed bilateral agreements for exchange of information on money laundering with South Africa, the United Kingdom and all Commonwealth and Economic Community of West Africa States countries. Nigeria has also ratified the African Union Convention on preventing and combating corruption, which was adopted in Mozambique in July 2003. Nigeria has been instrumental to the establishment of a Permanent Secretariat for the Intergovernmental Task Force against Money Laundering in West Africa (GIABA).   continue ....next page