Emmanuel OchayiThe Nigeria Deposit Insurance Corporation (NDIC) has made a significant declaration, offering a glimmer of hope to depositors, creditors, and shareholders of 20 banks in liquidation.
The NDIC announced the distribution of a substantial sum, amounting to N16.18 billion in liquidation dividends, underscoring its commitment to resolving the financial fallout from defunct banks.
Bashir A. Nuhu, Director of Communication and Public Affairs at the NDIC, broke the news in a statement issued on Monday. This revelation comes on the heels of impressive recoveries from debtors and the realization of bank assets that were previously considered lost.
The NDIC’s proactive approach to addressing this financial crisis is noteworthy. The corporation has initiated the verification and payment process for stakeholders covered by the declaration.
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This transparent and decisive move is set to unfold within a 30-day window, commencing on September 28, 2023.
It’s important to acknowledge that this latest disbursement is part of a series of payments, cumulatively amounting to a staggering N45.45 billion in liquidation dividends for the 20 banks as of July 2023. This continuous effort underscores the NDIC’s dedication to resolving the financial fallout from defunct banks.
To facilitate the process, relevant stakeholders are encouraged to visit their nearest NDIC offices or access the claims page on the corporation’s website, www.ndic.gov.ng. They can download, complete, and submit the verification form, along with the prescribed supporting documents, to the dedicated email address: claimscomplaints@ndic.gov.ng.
The list of closed banks benefiting from this exercise includes Liberty Bank, City Express Bank, Assurance Bank, Century Bank, Allied Bank, Financial Merchant Bank, Icon Merchant Bank, Progress Bank, Merchant Bank of Africa (MBA), Premier Commercial Bank, North-South Bank, and Prime Merchant Bank. Also included are Commercial Trust Bank, Cooperative and Commerce Bank, Rims Merchant Bank, Pan African Bank, Fortune Bank, All States Trust Bank, Nigeria Merchant Bank, and Amicable Bank in liquidation.
A liquidation dividend, as defined by the NDIC, represents an amount exceeding the insured sums paid to depositors of a closed bank. This windfall is made possible through recoveries from the realization of assets of failed financial institutions.
Additionally, it encompasses payments to creditors and shareholders of defunct banks once full restitution has been made to depositors. This unexpected financial boost is set to bring relief to many affected by the financial turmoil of these defunct banks.
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