NDIC pays N1.39bn to depositors of failed banks

The Nigeria Deposit Insurance Corporation (NDIC) has paid N1.39 billion to 36,163 depositors of 110 closed microfinance banks (MFBs) and three primary mortgage banks (PMBs).

The Managing Director of NDIC, Mr. Bello Hassan, made the disclosure at the NDIC Special Day at the 2023 Lagos International Trade Fair on Thursday in Lagos.

The News Agency of Nigeria (NAN) reports that the fair has the theme “Connecting Businesses, Creating Value.”

Hassan said the corporation promptly commenced the liquidation of these banks and began disbursing insured sums to depositors within a record time of three days of the banks’ closure.

This, he said, followed the recent revocation of licenses for some MFBs and PMBs by the Central Bank of Nigeria.

He said the payments of the statutory insured sums were still ongoing.

Hassan explained that depositors with funds exceeding the insured limit would receive liquidation dividends after the recovery of debts and the sale of the closed banks’ physical assets.

“In another development, the corporation is currently in the process of verifying and paying liquidation dividends to depositors and stakeholders of 20 banks in liquidation, including Allied Bank, Peak Merchant Bank, and Commerce Bank.

“Continental Merchant Bank, Financial Merchant Bank, Fortune Bank, Gulf Bank, Hallmark Bank, Icon Merchant Bank, Liberty Bank, Nigeria Merchant Bank, North South Bank, Premier Commercial Bank, Prime Merchant Bank, Progress Bank, and Merchant Bank,” he said.

Hassan, represented by Mr. Nuhu Bashir, Director, Corporate Communications, NDIC, urged the general public, especially traders and businessmen, to always ensure that their funds were saved in licensed banks.

He advised them to avoid patronizing wonder banks and Ponzi schemes, which always leave their victims with untold stories.

The boss added that the corporation was actively working to investigate and resolve any wrongdoing or complaints that it received about insured banks.

“The NDIC, in its efforts to boost depositors’ confidence in the financial landscape, has continued to address genuine cases of infractions and complaints in relation to their respective insured institutions.

“In this regard, the corporation operates a 24-hour toll-free Helpdesk line (080063424357) and an email (helpdesk@ndic.gov.ng) for depositors to put forward their inquiries on the benefits and operations of the Deposit Insurance Scheme in Nigeria,” he said.

Earlier, the President of the Lagos Chamber of Commerce and Industry, Dr. Michael Olawale-Cole, thanked the corporation for being a worthy partner of the LCCI over the years.

Olawale-Cole, represented by Bimbo Olasore, the Vice Chairman, Trade Promotion Board, also congratulated NDIC for using its platform to reach out to bank depositors and showcase their products.

“As you all are aware, the Lagos International Trade Fair is the biggest and most vibrant fair in the whole of West Africa. So, it is a very useful platform for people to use and advertise their goods and services.

“I’m very pleased in this case that NDIC is using it, in that if the customers are not coming to their offices, they will go to where the depositors are congregating.

“I can assure you that by being here for 10 days, you will meet tens of thousands of depositors at NDIC.


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