Section 1: Mortgage business by mortgage institutions.

(1) No mortgage business shall be transacted in Nigeria except by a company which is duly incorporated in Nigeria for that purpose and in possession of a valid licence granted by the Minister authorising it to do so.
(2) Subsection (1) of this section shall not apply to-
(a)
the Federal Mortgage Bank or any bank licensed under the Banks and other Financial Institutions Act and carrying on mortgage business as part of its normal operations; or
(b) any institution which before the coming into force of this Act was carrying on mortgage business if such institution has before the 1st day of March 1990 applied to the Minister through the Federal Mortgage Bank for licence and the application has been granted by the Minister before that date.
(3) Any person who transacts any mortgage business in contravention of the provisions of this section shall be guilty of an offence and liable on conviction to a fine of N100 for each day during which the offence continues.