BusinessHighlight

Update: CBN revokes Heritage Bank’s operating license, appoints NDIC as liquidator

The Acting Director of Corporate Communications at the Central Bank, Hakama Ali, announced on Monday that the bank's actions were taken to maintain a stable financial system in Nigeria, as authorized by Section 12 of the BOFIA Act of 2020.

1.4k

The Central Bank of Nigeria (CBN) has revoked the license of Heritage Bank Plc with immediate effect.

The Acting Director of Corporate Communications at the Central Bank, Hakama Ali, announced on Monday that the bank’s actions were taken to maintain a stable financial system in Nigeria, as authorized by Section 12 of the BOFIA Act of 2020.

According to Ali, the bank violated Section 12(1) of BOFIA 2020 and failed to improve its financial performance, posing a risk to financial stability despite efforts by the board and management.

It said: “This follows a period during which the CBN engaged with the bank and prescribed various supervisory steps intended to stem the decline.

“Regrettably, the bank has continued to suffer and has no reasonable prospects of recovery, thereby making the revocation of the license the next necessary step.

Accordingly, the CBN intervened to restore public trust in the banking system and prevent any potential harm to the overall stability of the financial sector.”

To this effect, the CBN has appointed the Nigeria Deposit Insurance Corporation (NDIC) as the liquidator of the bank under Section 12(2) of BOFIA, 2020.

“We wish to assure the public that the Nigerian financial system remains on a solid footing.

“The action we are taking today reflects our continued commitment to take all necessary steps to ensure the safety and soundness of our financial system,” it said.

Leave a comment

Related Articles

Breaking: Supreme Court Dismisses Osun’s Suit Against FG Over Withheld LG Funds

The Supreme Court dismissed a lawsuit filed by the Attorney General of...

Boris Johnson Touts Nigeria-Born Kemi Badenoch as UK’s Next Prime Minister

Former British Prime Minister Boris Johnson stirred excitement at the 2025 Imo...

Nigeria’s Foreign Reserves Hit Seven-Year High of $46.7bn – CBN Gov. Cardoso

Nigeria’s foreign reserves have reached a seven-year high of $46.7 billion, providing...

List of 68 ambassadorial nominees at a glance

List of 68 ambassadorial nominees at a glance CAREER AMBASSADORS (34) Abia...

Nigerian, 26 Others Charged in US Midstate Banks $Multi-Million Fraud Scheme

At least, 27 people including a Nigerian have been charged to court...

Dangote Set to Become World Largest Fertiliser Producer by 2028

The Dangote Group, led by Aliko Dangote, is set to become the...

CJN Reaffirms Judiciary’s Commitment to Human Rights Protection

The Chief Justice of Nigeria (CJN), Justice Kudirat Kekere-Ekun, has reaffirmed the...

Appeal Court Declares VIO Illegal, Lacks Power To Seize Vehicles, Impose Fines

The Court of Appeal, Abuja Division, on Thursday affirmed an earlier judgment...

NPA to Drive Growth in Non-Oil Export Sector

The Nigerian Ports Authority (NPA) says it is committed to boosting the...

Maritime Workers Union Meets NPA, Pledges Support for Sector’s Growth

The Maritime Workers’ Union of Nigeria (MWUN) has reaffirmed its commitment to...

EFCC Seeks Reversal of Ruling on 27 Forfeited Assets

The Economic and Financial Crimes Commission(EFCC) has filed a notice of appeal...

Updated: Tinubu nominates ex-Rivers administrator Ibas, Dambazau, others as ambassadors

President Bola Tinubu has forwarded another batch of non-career ambassadorial nominees to...

Out-of-Control Truck Crushes Traffic Cop, Leaves Another Injured in Abuja

The Federal Capital Territory (FCT) Police Command tragically lost one of its...

Tinubu Lauds Senate for Swift Defence Minister’s Confirmation

President Bola Tinubu has commended the Nigerian Senate for the speedy screening...

South Africa to Boycott US-led G20 Meetings After Exclusion

South Africa has announced it will not participate in the G20 meetings...

China Backs Nigeria’s Security, Economic Reforms

The Chinese Ambassador to Nigeria, Mr. Yu Dunhai, has reaffirmed China’s support...

Abia Gov. Otti’s meeting with Tinubu Centres on Kanu, not defection – Aide

Abia Governor Alex Otti’s Special Adviser on Media and Publicity, Ferdinand Ekeoma,...

NEC Approves N100bln for Security Agencies’ Training Institutions

The National Economic Council (NEC) has approved N100 billion for the rehabilitation...

Senate Swings into Action: Begins Screening of Gen. Musa as Defence Minister

The Senate on Wednesday commenced the screening of former Chief of Defence...

Gov. Eno Clears N39.8bn Debt Burden Inherited in Akwa Ibom

Governor Umo Eno of Akwa Ibom announced that the state has cleared...