OPay Fined N994m for Money Laundering and Other Breaches

OPay Digital Services Limited, a Central Bank of Nigeria (CBN) licensed mobile money operator, is drawing attention for its regulatory compliance practices after paying nearly N1 billion in penalties to Nigerian authorities for violations tied to money laundering, terrorism financing, and other regulatory issues.

Disclosures in OPay’s audited accounts, sighted by InsideBusinessNG, raise questions about the company’s internal controls and governance, especially as it operates in one of Africa’s largest financial markets.

Multiple Regulatory Infractions

According to OPay’s filings under “Compliance with Regulations,” the company incurred regulatory fines totaling N994 million between 2023 and 2025. The penalties stem from infractions of rules set by the Central Bank of Nigeria (CBN) and three other regulatory bodies.

OPay was sanctioned for violating key provisions of the Banks and Other Financial Institutions Act (BOFIA) 2020, CBN’s Anti-Money Laundering, Combating the Financing of Terrorism and Countering Proliferation Financing Regulation 2022, CBN Customer Due Diligence Regulation 2023, and the Consumer Protection Regulations 2019.

In addition to CBN penalties, the Nigeria Data Protection Commission (NDPC) fined OPay for breaching the Nigeria Data Protection Act 2023. The Advertising Regulatory Council of Nigeria (ARCON) and the Corporate Affairs Commission (CAC) also imposed fines for violations of their respective acts.

Breakdown of Fines

In 2023, OPay paid N26 million fine to the CBN for money laundering and terrorism financing violations and was also fined N113.7 million in 2024 for recurring money laundering and terrorism financing breaches.

Others are N197 million fine for BOFIA 2020 violations, N10 million for Customer Due Diligence lapses, N2 million penalty for Consumer Protection Regulations breaches and N125 million to NDPC for data protection violations.

The mobile money services firm was also fined N7 million by ARCON for advertising regulation breaches and N1 million by CAC for Companies and Allied Matters Act (CAMA) violations.

In 2025, OPay paid N464 million to CBN for breaching the Framework for Mobile Money Services in Nigeria 2021.

The repeated regulatory violations highlight potential weaknesses in OPay’s internal compliance frameworks, particularly regarding anti-money laundering (AML) controls, customer due diligence, consumer protection, and data privacy.

Strong compliance is essential for digital financial service providers to maintain customer trust and meet both domestic and international standards.

The lapses in AML and due diligence are especially concerning, given their critical role in preventing financial crime.

The significant penalty from the NDPC also signals the growing importance of data protection as digital platforms handle increasing volumes of personal information.

IPO Withdrawal Amid Regulatory Scrutiny

This compliance issues come as OPay recently withdrew its proposed initial public offering (IPO) on the New York Stock Exchange (NYSE) following a regulatory inquiry in an undisclosed foreign jurisdiction. The company had planned to raise $304 million through the sale of 16 million American Depositary Shares (ADS) at $19 each, targeting a $4 billion valuation.

On October 30, 2026, OPay announced a mutual agreement with its underwriters to terminate the offering—just a day after signing the underwriting agreement—due to the ongoing inquiry. OPay described the jurisdiction as immaterial to its main business and expressed confidence that the matter would be resolved soon.