The Nigeria Deposit Insurance Corporation (NDIC), a statutory physique that protects depositors’ funds, may examine the directors of 183 banks whose licenses were revoked to find out if monetary malpractice contributed to the revocation.
The Nigeria Deposit Insurance Corporation (NDIC) has mentioned that the Inter-Agency Task Force may quickly be referred to as to analyze the conduct of the directors of the 183 microfinance banks (MfBs) and Primary Mortgage Banks (PMBs) which have had their licences revoked. Notable establishments inside this group are Eyowo and Purple. According to the NDIC, the Inter-Agency Task Force is remitted by the Failed Banks Act to find out if monetary malpractice contributed to the shortcomings and eventual shutdown of a few of these banks.
In May, the central financial institution (CBN) revoked the licences of those establishments as a result of that they had both been inactive, bancrupt, did not render returns, closed store, or ceased to hold on the sort of banking enterprise for which they were licensed for greater than six (6) months.
Bello Hassan, the managing director and chief government of the NDIC, hinted at this investigation in Lagos throughout a workshop organized by the company. He additionally famous that the company is already taking authorized motion towards suspected defaulters. “I am aware that 12 prosecution cases are ongoing at various courts, 25 ongoing investigations with the Financial Management Information Unit (FMIU), 11 with the Economic and Financial Crimes Commission (EFCC), and five concluded investigations with the Financial Management Information Unit (FMIU) for advice and prosecution. This is an indication that we are on the right course,” he concluded.
…. to be continued
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