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Breaking…. CBN appoints NDIC as Liquidator, revokes Heritage Bank’s operational licence



Heritage Bank

The Central Bank of Nigeria (CBN) has appointed the Nigeria Deposit Insurance Corporation (NDIC) as the Liquidator of Heritage Bank Plc in accordance with Section 12 (2) of BOFIA, 2020.

This followed the revocation of the Bank’s operational licence with immediate effect, NEWSNGR reports.

A statement issued on Monday by CBN Acting Director, Corporate Communication, Hakama Sidi Ali, said: the action became necessary due to the bank’s breach of Section 12 (1) of BOFIA, 2020.”

It said: “The Board and Management of the bank have not been able to improve the bank’s financial performance, a situation which constitutes a threat to financial stability.

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“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 licence the next necessary step.”

According to the statement, the CBN has taken this action to strengthen public confidence in the banking system and ensure that the soundness of our financial system is not impaired.

The statement said: “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.”