- Following Heritage Bank’s closure and takeover by NDIC, the commission discovered that the bank is owed N700 billion in loans
- Also, 99.9 per cent of 2.3 million depositors have less than N5 million balance in their accounts
- Depositors have also been reassured that they would start getting their money this week
The Nigeria Deposit Insurance Corporation (NDIC) has revealed that about N700 billion in loans is owed to Heritage Bank and will do everything in its power to recover the funds.
The NDIC also said there are about N650 billion deposits in the bank following preliminary findings while noting that the figures could be higher as the scrutinisation of the bank’s records continues.
Managing Director and Chief Executive Officer of the NDIC, Bello Hassan, said this while addressing newsmen on the liquidation process of the bank, in Abuja on Wednesday, June 5, assured that depositors of the defunct bank will begin receiving their insured deposits this week.
The NDIC boss further disclosed that 99.9 per cent of the bank's 2.3 million depositors have less than N5 million in their accounts, while only about 4,000 depositors have about N5 million and above in the bank.
Recall that the NDIC had said insured depositors of the defunct bank would be paid up to N5 million, while those with deposits in excess of N5 million would get their balance after the recovery and liquidation of the bank’s assets.
NDIC assures depositors of their funds
Hassan said, “From our preliminary assessment, we have found out that Heritage Bank has N650 billion deposits and loans is about N700 billion. If we recover this amount, no depositor will lose their deposit.
“We assure depositors that there is no need to panic and that they will get their money back beginning this week.
“The NDIC has been appointed as the liquidator of Heritage Bank. Customers with insured deposits will be paid up to the insured limit of N5 million.”
He also assured of the soundness and safety of the banking system and urged the bank’s customers to go about their business.
Recall also that the Central Bank of Nigeria (CBN) had, on Monday, June 3, revoked the licence of Heritage Bank over the bank’s inability to improve its financial performance, which is a breach of Section 12(1) of the Banks and Other Financial Institutions Act (BOFIA), 2020.
Following the revocation, the CBN appointed the NDIC as the liquidator of the bank’s assets.
