The Nigeria Deposit Insurance Corporation (NDIC) said it has set aside the sum of N258.767 billion in the 2019 fiscal year for the reimbursement of depositors in the unlikely event of closure of licensed banks. Giving a breakdown of the funds, managing director and chief executive of NDIC, Umaru Ibrahim, at the Corporation’s 2019 budget estimates before the House of Representatives said N109.686 billion was provided for depositors of Deposit Money Banks (DMBs), while N149.081 billion has been set aside for depositors of Primary Mortgage Banks (PMBs) and Micro Finance…
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EX-MINISTER GOES TO COURT TO NULLIFY ACCESS BANK, DIAMOND BANK MERGER
A former Minister of Petroleum, Chief Don Etiebet, has asked Justice Mohammed Liman of a Federal High Court in Lagos to nullify the merger between Access and Diamond Banks over alleged non-disclosure of vital information. The two banks, Securities and Exchange Commission (SEC) as well as the Central Bank of Nigeria (CBN) were joined as co-respondents in the suit. In an affidavit in support of the motion on notice deposed to by the applicant (Etiebet), it was averred that prior to the commencement of the merger, the 1st respondent (Access…
Read MoreMAGU CONTINUES ATTACK ON BANKING SECTOR, SAYS FOREIGNERS SPONSOR TERRORISM THROUGH BANKS
M Ibrahim Magu, Acting EFCC Chairman The Chairman of Economic and Financial Crimes Commission (EFCC), Ibrahim Magu, has alleged that recent discovery by the Commission showed that some foreign nationals sponsor terrorism through banks in the country. Magu also lamented that banks were being turned into fraud and money laundering institutions in Nigeria, saying that some bankers give cover to fraudsters, corrupt politicians and foreign nationals to operate. Speaking on Sunday in Port Harcourt, Rivers State, at a meeting with officers of banks in the South-South Zone, Magu vowed that…
Read MoreEFCC PRESENTS FRESH EVIDENCE AGAINST FORMER INTERCONTINENTAL BANK CHAIRMAN, AKINGBOLA
EFCC Presents Fresh Evidence Against Akingbola The trial of Erastus Akingbola, a former Managing Director of the defunct Intercontinental Bank Plc, continued on April 5, 2019 with the Economic and Financial Crimes Commission, EFCC, presenting fresh evidence against him. Akingbola is standing trial on an amended 22-count charge bordering on abuse of office, conversion of funds belonging to Intercontinental Bank Plc, and stealing. The fresh evidence, which included the statements of accounts and accounts particulars of Tropics Securities Limited, Tropics Properties Limited and Tropics Finance with Access Bank, were tendered…
Read MoreCOMMERCIAL BANKS TO PAY 103BIL TAX TO FIRS
FEYISAYO POPOOLA examines the total amount of taxes to be paid to the Federal Inland Revenue Service for the 2018 financial year by 14 commercial banks listed on the Nigerian Stock Exchange A total of 14 commercial banks listed on the Nigerian Stock Exchange are billed to pay N103bn in taxes to the Federal Inland Revenue Service for the 2018 financial year. An analysis of the recent financial statements filed by the banks on the NSE showed that Ecobank Transnational Incorporated will pay the highest amount of N33.61bn. A breakdown…
Read More5.7MIL FRAUD: WOMAN DRAGS BANK BEFORE EFCC OVER ILLEGAL WITHDRAWAL
A Benin-based middle aged businesswoman has petitioned the anti-graft agency, the Economic and Financial Crimes Commission (EFCC) over an alleged fraudulent withdrawal of N5.7 million by the management and staff of Trustfund Microfinance Bank located in Benin, the Edo State capital. Mrs. Josephine Okoruwa, 50, said the amount which constituted her daily savings of about N3 million and fixed deposit of about N2.7 million, were made to the bank through a female staff of the bank, Mrs. Faith Egbi, who was assigned to her as an account manager for all…
Read MoreBVN: BANKS HIRE LAW FIRM TO APPEAL COURT RULING
Oyetunji Abioye The ongoing issue around a court order asking the Central Bank of Nigeria and 19 Deposit Money Banks to release the details of all accounts without the Bank Verification Number with a view to seizing the funds in them took a new twist on Monday as indications emerged that the lenders named in the suit had engaged the services of a top law firm to address the matter. Already, the law firm has approached the court for an extension of time to appeal the court order. Top bank…
Read MoreBANKS MAY RECALL LOANS OVER BVN
Banks are bracing for the effects of a likely forfeiture of funds in accounts without the Bank Verification Number (BVN). Should the government enforce the court order on such accounts, the banks will recall loans from customers; and lay-off staff. Speaking yesterday on the development, former Registrar/Chief Executive, Chartered Institute of Bankers of Nigeria (CIBN), Uju Ogubunka, said a massive loan recall would help the lenders keep their liquidity ratio within regulatory threshold. Liquidity ratios are based on various portions of a bank’s current assets and liabilities taken from its…
Read More46MIL ACCOUNTS WITHOUT BVN: FG TRYING TO REAP WHERE IT DIDN’T SOW- ADEGBORUWA
Lawyer and human rights activist, Ebun-Olu Adegboruwa, tells BAYO AKINLOYE that the judiciary is complicit in the Federal Government’s efforts to take over 46 million bank accounts without BVN Some have considered the step taken by the Federal Government to freeze bank accounts of people with BVN as an attempt to steal from innocent citizens. What is your view? The whole idea of forfeiture of the resources and assets of citizens to the Federal Government is illegal and unconstitutional. Under sections 43 and 44 of the 1999 Constitution, every citizen of Nigeria…
Read MoreANXIETY IN BANKS OVER NOV 3 DEADLINE FOR BVN
Banks were gripped yesterday by the fear of a major liquidity crisis should the government pull out funds belonging to customers without Bank Verification Number (BVN). The deadline given by the court for such customers to lose their cash is tomorrow. Justice Dimgba Igwe of the Federal High Court, ruling on an ex parte application filed by the Federal Government through the Office of the Attorney-General of the Federation on October 21, granted the temporary forfeiture of such cash within two weeks unless the owners justify their ownership of such accounts. There…
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