NDIC Begins Liquidation Process as CBN Revokes Heritage Bank’s Operating License

The Nigerian Deposit and Insurance Corporation (NDIC) has begun the process of liquidating the defunct Heritage Bank, following the withdrawal of its operating license by the Central Bank of Nigeria (CBN).

A notice issued to depositors of the bank says each depositor will be reimbursed up to a maximum of N5 million, based on their existing deposit balance. Depositors with funds exceeding this amount will receive their payments once the bank’s assets are liquidated.

There strong indications that Heritage bank depositors will be informed through national newspapers about the commencement of payment of insured deposits.
Depositors are also advised to direct all inquiries and clarifications about their accounts or payments to the Liquidator-in-Charge NDIC Lagos office, Mamman Kontagora House,Lagos.

The Apex bank authorities said the decision to revoke Heritage Bank’s license was due to its failure to improve financial performance as it continues to pose a risk to financial stability.
Revolnews gathered that in spite of regulatory interventions, the bank’s management was unable to reverse its financial decline, leading to the revocation of its license.

The CBN emphasized its commitment to safeguarding the financial system and maintaining public confidence.

The appointment of NDIC as the liquidator is usually to protect depositors’ funds and uphold the stability of the financial system.

The public has ,however, been reassured that the Nigerian financial system remains strong and stable,as the CBN takes necessary measures to ensure its integrity.

Heritage Bank’s license timely revocation is a proactive step aimed at preventing risks to financial stability while strengthening public trust in the banking sector.