CBN Speaks On Safety of Depositors Funds Over Bank Acquisitions

CBN has spoken on the safety of depositors’ Funds over bank acquisitions in Nigeria.

 

NewsOnline Nigeria reports that the Central Bank of Nigeria (CBN) has reassured bank users that their funds are secure in their respective accounts, emphasizing that there is no need for panic withdrawals. 

 

This was disclosed in a statement signed by the CBN’s acting director of Corporate Communication Sidi-Ali Hakama.

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According to the apex bank, there have been reports rumored in different media outlets of Federal Government plans to take over some CBN-supervised financial institutions.

 

The CBN therefore advised that depositors disregard these reports as they did not emanate from them. 

 

The apex bank noted that it is fully equipped to carry out its statutory duties in ensuring the stability of financial institutions in the country.  

It said,  

• “The Central Bank of Nigeria (CBN) has noticed reports, in certain media outlets, about a recommendation for the Federal Government to take over some CBN-supervised financial institutions.
• “For the avoidance of doubt, Nigerian banks remain safe and sound. The CBN encourages the public to continue their regular activities without being alarmed by reports that have not emanated from the CBN about the health status of Nigerian banks.
• “The CBN is fully equipped to carry out its statutory duty of upholding a stable financial system in Nigeria. We assure the general public and depositors about the safety of their funds in Nigerian financial institutions.
• “Bank customers are therefore advised to proceed with their banking transactions as usual, as there is no cause for concern.”

 

Backstory

• In a leak report by the CBN special investigator, Jim Obazee, it was alleged that the federal government is planning to take over two banks illegally sold to former CBN governor, Godwin Emefiele.
• According to the report, Emefiele used proxies to acquire Union Bank of Nigeria for Titan Trust Bank Limited and Keystone Bank without any evidence of payment.
• Meanwhile, the spokesperson of Titan Trust Bank Limited has debunked the report, claiming that the acquisition of Union Bank followed legal and due process.
• Read Titan Trust Bank Issues Official Statement refuting ‘CBN Special Investigation Report’ here.
• Earlier yesterday, the panel of CBN investigation invited in a letter the chairman of the bank as well as two other board members for further inquiries.