NDIC Clarifies Liquidation Dividends: Depositors, Creditors, and Shareholders to Receive N61.63bn

The Nigeria Deposit Insurance Corporation (NDIC) has issued a clarification and refuted recent misleading reports circulating on social media with the headline “CBN Liquidates 20 Banks – NDIC (Names).”

The NDIC’s Director of Communication and Public Affairs, Bashir Nuhu, explained that the 20 banks mentioned were closed due to the revocation of their operating licenses by the Central Bank of Nigeria between 1994 and 2018.

Contrary to the misleading headlines, Nuhu clarified that depositors, creditors, and shareholders of these liquidated banks are expected to receive about N61.63 billion as paid liquidation dividends.

The NDIC has already disbursed approximately N45.45 billion as of July 2023.

Nuhu’s statement reassured the public, stating, “The NDIC has fulfilled its commitment by paying the guaranteed sums owed to depositors. Additionally, the Corporation has made cumulative payments of liquidation dividends totaling N45.45 billion as of July 2023, representing amounts exceeding the guaranteed sums to depositors of the 20 banks.”

The NDIC announced an additional N16.18 billion in liquidation dividends to be paid, taking into account further recoveries from debtors of the liquidated banks.

The list of closed banks includes Liberty Bank, City Express Bank, Assurance Bank, Century Bank, Allied Bank, Financial Merchant Bank, Icon Merchant Bank, Progress Bank, Merchant Bank of Africa (MBA), Premier Commercial Bank, North-South Bank, and Prime Merchant Bank, among others.