NDIC Seeks Minister’s Support In Liquidation Of Failed Banks Assets

The Minister of the Federal Capital Territory, Mohammed Musa Bello, has agreed to help the Nigeria Deposit Insurance Corporation to realise landed properties of failed banks in Abuja.

However, he said this must be within the ‘confines of the law.’

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The NDIC Board of Directors Chair, Mrs Ronke Sokefun, who has been battling with liquidation of the assets of banks closed by the Central Bank of Nigeria across the country said the corporation has been unable to repay depositors.

This is according to a disclosure made by the corporation on Tuesday.

In Nigeria, the NDIC has the mandate of liquidating assets of closed banks following revocation of their licence by the apex bank.

Within the FCT, the NDIC said it is faced with serious obstruction from various quarters including the  Federal Capital Territory Administration.

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But with the development, NDIC believes Bello’s support would enable it to pay depositors of affected closed banks.

NDIC said, “The Corporation had faced some bottlenecks in the full payment of trapped depositors’ funds as a result of difficulty in realising assets of banks in-liquidation due to poor documentation by the banks, revocation of title by authorities and litigations over the assets.

“The support of the Ministry in realising them would assist the Corporation in the effective discharge of its mandate of deposit guarantee which ensures that depositors recover their savings in the event of bank failure.”

While making the promise, the Minister said the issue connected to landed properties in the FCT were usually not by the Ministry.

He blamed it on “issues arising from the title of such properties.”

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“The Ministry was amenable to assisting the Corporation in resolving issues around its properties and those of banks in-liquidation in the FCT within the ambit of the law,” the statement quoted Bello to have said.

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