•Moves to enforce compliance, enforcement mandates
CHIGOZIE AMADI
The Registrar-General/Chief Executive, Corporate Affairs Commission (CAC), Mr. Hussaini Magaji, yesterday said
all business registration with the commission would soon be fully driven by Artificial Intelligence (AI) to further simplify processes and enhance ease of doing business in the country.
He said advancements in AI could handle routine operational tasks such as business registration, freeing resources for more complex compliance and enforcement activities.
Magaji spoke at the opening of an in-house compliance and enforcement training workshop for CAC staff with the theme, “Re-engineering the Commission for Effective Discharge of Compliance and Enforcement Mandates to Ensure Efficient Management of Corporate Vehicles” in Abuja.
He said business registration was currently online end-to-end, adding that there’s no longer manual services – a situation that enables registration in real-time from anywhere in the world.
He said the commission had already delivered on the 24-hour registration timeframe it earlier promised, though some may linger up to three days depending on the volume of inflows and applications to its portal.
Magaji said in less than a month, all operations would be driven by AI to further achieve a 30- minute registration timeframe, “God willing”.
He further clarified that contrary to speculations, the CAC statutory mandate was not restricted to administering the Act in the areas of registration and supervision of formation, incorporation, and striking-off and winding up of companies.
He said the commission has a duty to also ensure proper regulation and management of companies.
He also unveiled plans to strengthen its compliance and enforcement mandates, with a focus on formalising businesses and enhancing post-incorporation compliance.
Magaji called for a paradigm shift in the commission’s operations, emphasising the importance of compliance and enforcement functions beyond the routine registration of businesses.
He said, “One of the key priorities I identified upon assuming duty on October 16, 2023, was the need to bring the commission’s regulatory and management functions to the forefront.
“This led to the inclusion of compliance enforcement as a key component of my four-point agenda.”
He also highlighted the success of the PoS Formalisation Project, which had registered about 100,000 operators under the requirements of Section 863(1) of the Companies and Allied Matters Act (CAMA) 2020.
He explained that the project aimed to formalise at least 250,000 operators in the sector, as part of broader efforts to regulate about 40 million micro, small, and medium enterprises (MSMEs) in the country.
Magaji said, “Formalisation is the first step for legitimate business operations and access to government interventions.
“It also mitigates the risks associated with unregistered businesses, such as money laundering and terrorism financing.”
He also revealed plans to implement sanctions for PoS operators who fail to comply with formalisation requirements, stressing that multiple registrations across fintech platforms are unnecessary as one registration suffices.
Nonetheless, he emphasised the need to prioritise post-incorporation compliance, which he described as a sustainable revenue stream for modern registries.
He said plans were underway to address issues about shell companies, opaque ownership structures, and proper disclosure of persons with significant control, in line with global standards and the Persons with Significant Control Regulations.
The CAC boss said, “This training will position our staff to undertake compliance enforcement and inspection duties with confidence.
“It also marks the start of our drive towards a hyper post-incorporation compliance mode.
“The training includes technical sessions on statutory books, records, returns, and filings for registered entities, with input from resource persons from law enforcement agencies to share practical experiences.”
He urged participants to engage actively and embrace the reforms as part of efforts to align the commission’s operations with global best practices.
