Reps has summoned Bank CEOs over alleged illegal deductions from customers’ accounts.
NewsOnline Nigeria reports that Chief executives of Nigeria’s commercial banks have been ordered to appear in person before an investigative panel of the House of Representatives over allegations of illegal and unexplained deductions from customers’ bank accounts.
The summons was issued on Tuesday in Abuja by the House Ad-hoc Committee probing the deduction of taxes from civil and public servants’ earnings, as well as multiple bank charges imposed on Nigerian depositors.
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Commercial banks routinely deduct fees such as SMS alert charges, account maintenance fees, transfer charges and other levies many of which, lawmakers say, are neither transparent nor properly accounted for.
Banks Accused of Systematic, Unlawful Deductions
Chairman of the committee, Rep. Kelechi Nwogu, accused banks of engaging in what he described as long-running, unlawful practices that have inflicted financial hardship on millions of Nigerians.
“Commercial banks are perpetrating illegality by deducting inexplicable charges from civil servants, public servants and other customers’ bank accounts without remittances,” Nwogu said.
He expressed concern over deductions that appear unjustified, unclear, or not backed by regulatory approvals, stressing that the investigation aims to ensure that all bank charges are lawful, properly computed, and transparently utilised.
“Our mandate is clear: all deductions or charges must be deducted rightly, fined rightly, and used rightly,” he added.
Nwogu disclosed that the committee has also invited the Ministry of Finance and will collaborate with the Office of the Accountant-General of the Federation, the Economic and Financial Crimes Commission (EFCC), and all commercial banks to ensure a comprehensive inquiry.
No Proxies Allowed, CEOs Must Face Panel
The committee chairman issued a stern warning that the CEOs themselves not proxies or representatives must appear before lawmakers.
“You cannot appear here without an identity. We are not here on our own but on the mandate of the people who elected us into parliament,” he said.
He directed all banks to submit requested documents no later than Monday, ahead of the next hearing scheduled for Wednesday.
“We will go through all the documents, and we will put you on oath,” he warned.
Four-Day Ultimatum for Banks
The panel has given banks a four-day ultimatum to provide all relevant documents required for the investigation, with Nwogu warning that institutions that fail to comply will face sanctions.
He said the committee is determined to uncover the reasons behind what it described as “spurious and unjustified deductions” that have become widespread across the banking sector.
Recall that a recent Business Expectations Survey Report by the Central Bank of Nigeria (CBN) revealed that excessive bank charges, multiple taxes and poor infrastructure were the top challenges faced by Nigerian businesses in September 2025.
Respondents rated High Bank Charges (70.8), High/Multiple Taxes (70.8), and Poor Infrastructure (70.7) as the most pressing constraints on business operations nationwide.
Despite these obstacles, the survey noted a modest level of optimism among businesses.
