New Nigerian Law requires registration of UBO
5 October 2020 - On the 7th of August 2020, President Muhammadu Buhari assented to the Companies and Allied Matters (“CAMA”) Bill 2020 which was recently passed by the National Assembly. In addition to other changes in the corporate regulatory system, a disclosure of significant control and beneficial ownership was introduced.
The new CAMA law defines significant control as whether the person holds directly or indirectly at least 5% of shares, interest, voting rights, the right to appoint or remove majority of the directors, and the right to exercise or actually exercise significant influence or control over the entity.
Persons with significant control are required to disclose such control to the relevant companies within seven days from acquiring such interest. The companies must then inform the Corporate Affairs Commission within one month of receipt of the information. This information must also be notified in the annual return and the register.