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.

596

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

Depressed Abuja EFCC operative flatlines 

An officer of the Economic and Financial Crimes Commission (EFCC) has taken...

We have declared war on crude oil production challenges – NNPC Ltd.’s GCEO Kyari

In an effort to increase Nigeria’s crude oil production and grow its...

FG grants withholding tax exemptions to SMEs, farmers, manufacturers

Mr. Taiwo Oyedele, the Chairman of the Presidential Committee on Fiscal Policy...

Seized weapons worth N4bn for destruction at Arms Centre

The National Centre for the Control of Small Arms and Light Weapons...

Sports Minister to NFF: Go for first-class coach for Super Eagles

The Minister of Sports Development, Sen. John Enoh, has urged the Nigeria...

Reps Speaker to ECOWAS: Help to combat terrorism, climate change

Mr. Tajudeen Abbas, the Speaker of the House of Representatives, has called...

Nigeria’s foreign investment inflows grow by 210% in Q1 2024

Foreign investment inflows to Nigeria grew to $3.38 billion in the first...

Customs busts 10 containers laden with illegal arms, drugs in Port Harcourt

The Nigeria Customs Service has made a significant bust at Onne Port...

Nigerian, Ghanaian content creators can now earn from Facebook – Meta

In its bid to boost content creation in West Africa, Meta has...

12 Ajayi Crowther University students cleared of murder charges

An Iyaganku Chief Magistrates’ Court in Ibadan, Oyo State capital, on Monday...

EFCC probes its operatives over alleged assault on female hotel staff in Lagos

The Economic and Financial Crimes Commission (EFCC) has established a disciplinary panel...

Senate investigation resumes as AGF presents documents on FG’s N30trn CBN loan

The Senate Committee investigating the N30 trillion Ways and Means loans obtained...

Updated: Unmanned aerial vehicle, not helicopter, crashed in Kaduna, NAF clarifies

The Nigerian Air Force (NAF) has clarified that an Unmanned Aerial Vehicle...

UN denounces deadly Borno bombings

The United Nations (UN) has strongly denounced the recent devastating suicide bombings...

NNPC Retail Debunks “Lubricants-for- Petrol” Claims

The Nigerian National Petroleum Company Retail Limited has initiated disciplinary measures against...

Ex-Chief of Defence Staff, retired Adm. Ogohi, dies at 75

A former Chief of Defence Staff, retired Admiral Ibrahim Ogohi, is dead....

Minister intervenes in IG, PSC dispute over police recruitment

The Minister of Police Affairs, Sen. Ibrahim Gaidam, has stepped in to...

CBN gets 7 days ultimatum to account for missing N100bn dirty notes, public funds

SERAP said the allegations are documented in the latest annual report recently...

President Federation Cup: Rivers Angels, El-Kanemi Warriors emerge champions

Rivers Angels of Port Harcourt won their ninth Nigeria’s National Cup title,...

Sports Minister Lauds Amusan’s Clearance by CAS, Passion, Commitment

The Minister of Sports Development, Sen. John Enoh, has expressed immense joy...