The National Counter Terrorism Centre (NCTC) said investigations into kidnapping and terrorism-related cases have shown that ransom payments are routed through POS terminals.
The National Counter Terrorism Centre (NCTC), under the Office of the National Security Adviser (ONSA), said point-of-sale (POS) operators are facilitating ransom payments meant for terrorists and other criminal networks.
The National Coordinator of the Centre, Adamu Laka, disclosed this on Tuesday during an end-of-the-year media parley in Abuja.
Mr Laka, a major general in the Nigerian Army, said this amid the resurgence of kidnapping-for-ransom. Terror groups have recently stepped up attacks in northern Nigeria, kidnapping soft targets such as schoolchildren and worshippers.
In November, Nigeria recorded two separate school abductions in Kebbi and Niger states. However, the captives were later released.
Although the Nigerian government frowns at the payment of ransom to kidnappers, relatives of victims often pay ransom so that those kidnapped are freed. There have also been allegations that the government pays kidnappers to free some victims, allegations the government has denied.
POS operators abetting terrorism
Mr Laka said investigations into kidnapping and terrorism-related cases have shown that ransom payments are routed through POS terminals, allowing perpetrators to withdraw or transfer funds while evading detection.
“In many cases, ransom payments are transferred by victims directly to POS operators whose account details are provided by terrorists,” he said. “The money is then withdrawn by the criminals.”
Mr Laka said the situation is being addressed.
PREMIUM TIMES reports that Nigeria’s POS ecosystem has expanded rapidly in recent years, driven by limited banking access in rural areas and financial inclusion policies of the Central Bank of Nigeria (CBN).
Thousands of agents now provide cash withdrawals, transfers, and bill payments on behalf of banks and fintech companies, often operating in informal settings with minimal supervision.
While the system has improved access to financial services, it poses threats such as the one raised by Mr Laka.
CBN rules and enforcement gaps
The CBN has issued multiple directives governing POS and agent banking operations, including Know Your Customer (KYC) requirements, transaction limits, agent registration, and the obligation for fintechs and banks to monitor suspicious transactions and report them to the Nigerian Financial Intelligence Unit (NFIU).
Under existing rules, POS agents are expected to operate within defined transaction thresholds, maintain verifiable identities, and keep proper records of customers and transactions. Financial institutions are also required to flag unusual cash movements and freeze accounts linked to criminal activity.
However, observers say enforcement remains uneven, especially in rural areas where regulation may be hard to enforce.
Calls for media caution and operational sensitivity
The NCTC also urged media organisations to exercise caution in the handling and dissemination of sensitive security information, warning that premature disclosure could compromise operations and endanger lives.
Commending journalists for their professionalism, Mr Laka said that responsible reporting has helped counter extremist propaganda, strengthen public confidence and reinforce the government’s resolve to tackle terrorism, violent extremism and other threats to national stability.
However, he cautioned that in an era of instant news cycles and digital virality, the boundary between public interest and national security imperatives can become blurred.
“Operational details, intelligence-led activities and ongoing investigations are highly sensitive,” Mr Laka said, warning that premature or detailed disclosure could undermine security efforts and inadvertently aid adversaries “who actively exploit open-source information.”
He stressed that the centre was not calling for silence, but for responsibility and discernment in determining what should be reported immediately and what should be handled with caution in the overriding interest of national security.
According to him, press freedom and national security are complementary pillars of a stable democracy, noting that public awareness must be balanced with the protection of sensitive operational processes.
The NCTC also reaffirmed its commitment to continued engagement with the media through briefings, background sessions and structured information sharing to ensure reporting remains accurate, contextual and does not jeopardise security objectives.
Mr Laka warned that premature disclosure could alert suspects, compromise investigations, or endanger operatives working to dismantle these networks.
“Open-source information is actively exploited by criminal groups,” he said, adding that the centre was not calling for silence but for responsible judgment in balancing public interest with national security.
According to him, press freedom and national security are complementary pillars of a stable democracy, noting that public awareness must be balanced with the protection of sensitive operational processes.
Broader security implications
Noting that terrorist, violent extremists and organised criminal networks were evolving in tactics, Mr Laka said the response requires stronger intelligence coordination, strategic communication and national cohesion.
Responding to questions on cross-border infiltration, he said the centre is collaborating with other security agencies to counter threats emanating from the Sahel.
According to him, groups such as Lakurawa and Jama’at Nusrat al-Islam wal-Muslimin (JNIM) have infiltrated parts of Nigeria’s North-west and North-central regions, exacerbating insecurity in border communities.
Mr Laka also raised concerns over the use of social media platforms by terrorists to spread propaganda, noting that several extremist-linked accounts have been taken down.
“We have had several meetings with platforms such as TikTok, Instagram, Snapchat, Facebook and X,” he said.
“They are businesses seeking growth, but we engage them, explain the national security implications of certain content, and ensure such posts are removed.”
In his closing remarks, he described the media as a vital ally in countering terrorism, urging journalists to deny extremists the publicity they seek while reassuring citizens of the government’s resolve and capacity to protect them.
Credit: Premium Times