By Stellamaries Amuwa, Abuja
The Nigeria Deposit Insurance Corporation (NDIC), is almost set to pay depositors of the defunct Heritage Bank whose deposits exceed N5 million in the near future.
This was made known during the 2024 workshop organised for Financial Correspondents Association of Nigeria (FICAN) which held on Thursday in Lagos.
Speaking, the Managing Director NDIC, Bello Hassan noted that the Corporation was working to ensure that the depositors who had above N5 million with the bank got paid through the liquidation dividends.
He reiterated that customers within the threshold of N5 million have all been paid, except those with legal or regulatory issues on their accounts.
According to him, the Corporation had also commenced debt recovery to ensure the payment.
“We are making concerted effort to cover the assets in terms of physical assets and debts in liquidation dividends which have already commenced. The only group of insured depositors that we have not paid are those with no alternate account and have not come forward to provide the alternate account so that we can pay them.”
Hassan stated again that “insured depositors whose account is on post no debit order either by order of court or by regulatory agencies due to issues around fraud and Know-Your-Customer (KYC) have not been paid. Once those orders are vacated, we are going to pay them,” he said.
The NDIC had announced the sale of the defunct bank properties and chattel, including vehicles, office equipment and machinery in 62 locations across the country.
“Having largely reimbursed depositors their insured deposits, the Corporation is committed to ensuring that depositors with balances exceeding N5 million are also paid the balance of their deposits.
“These uninsured deposits represent a significant portion of the total deposits in Heritage Bank. In this regard, the Corporation is already working assiduously to ensure that, all depositors with amounts in excess of the maximum insured amount of N5 million are paid
through liquidation dividends from the realisation of the defunct bank’s assets and recovery of debts.
“The Corporation has already initiated the process of debt recovery and realisation of investments and physical assets of the defunct bank to ensure timely payment of the uninsured deposits of the defunct bank.
“Additionally, the NDIC’s responsibilities extend to the creditors of the defunct bank, who will receive payments after all depositors have been fully reimbursed.
“This orderly process, based on asset
realisation and priority of claims, is essential in maintaining public
trust in the banking system and promoting financial stability. The handling of the Heritage Bank liquidation illustrates the broader role of the NDIC in ensuring that even in times of financial disruption, depositors can be rest assured that their funds are protected,” he stressed
Hassan assured that the Corporation would continue to do all within its mandate to ensure stability in the financial system.
