Monday, June 3, 2024 - The Central Bank of Nigeria (CBN) has revoked the operation license of Heritage Bank Plc with immediate effect. In a statement released on Monday, June 3, the apex bank said the decision was taken to maintain a stable and healthy financial system as authorised under Section 12 of the Banks and Other Financial Institutions Act (BOFIA) 2020.
In the statement signed by Mrs. Hakama Sidi
Ali Acting Director, Corporate Communications, the apex bank said the
revocation was executed after Heritage Bank breached Section 12 (1) of BOFIA
2020.
“The bank’s Board and Management failed to
improve its financial performance, posing a risk to the financial stability of
the country. Despite various supervisory measures taken by the CBN to help the
bank recover, Heritage Bank continued to struggle without any reasonable
prospects of recovery,” the apex bank stated.
To ensure public confidence and integrity
of the financial system, the CBN said it has appointed the Nigeria Deposit
Insurance Corporation (NDIC) as the Liquidator of Heritage Bank as stipulated
in Section 12 (2) of BOFIA 2020.
The CBN reassured the public that Nigeria’s
financial system remains robust and secure.
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