Nigeria Deposit Insurance Corporation (NDIC) said it has paid a total of 82.36 per cent insured deposit to Heritage Bank depositors.
In a statement signed by Director, Communication & Public Affairs, Bashir A. Nuhu , NDIC said that the remaining 17.64 per cent of the insured deposits yet to be paid were largely depositors whose accounts have post no debits (PND) instructions or have no BVN. Others are those with no alternative accounts in other banks or accounts with KYC limit on the maximum lodgment per day and are yet to come forward for verification.
These categories of depositors according to NDIC are presently being contacted by the Corporation through telephone calls and text messages to come forward for verification.
The Corporation said that notwithstanding the payment of Uninsured Deposits and Other Claimants, the significant progress recorded in the payment of the insured deposits, NDIC is not unmindful of the uninsured deposits which constitute the larger portion of the total deposits of the defunct bank.
In this regard, the statement said the Corporation is already working assiduously to ensure that all depositors with amounts in excess of the maximum insured amount of N5 million are timely paid through liquidation dividend from realisation of the defunct bank’s assets.
“The Corporation has already initiated the process of debt recovery and realisation of investments and physical assets of the defunct bank to ensure timely reimbursement of the uninsured depositors of the defunct bank.
“Subsequently, after the full payment of both insured and uninsured portions of deposits, the Corporation will proceed with the payment of creditors in accordance with priority of claim as provided in the extant law.”
It reiterated that, all payments other than that of insured deposits are subject to availability and realisation of assets of the bank in the form of liquidation dividend.
The Central Bank of Nigeria (CBN) had on June 3, 2024, revoked the operating licence of Heritage Bank and appointed the Nigeria Deposit Insurance Corporation (NDIC) as liquidator.
The Corporation, in accordance with Section 12(2) of BOFIA 2020 and Section 55 subsections 1 & 2 of the NDIC Act 2023, immediately commenced the process of verification and payment to insured depositors.
The statement pointed out that the payment of Insured Deposits In discharge of its deposit guarantee mandate, the Corporation began the payment of the insured deposits of N5 million maximum per depositor within a record time of four (4) days of the bank closure.
This was achieved using Bank Verification Numbers (BVN) as a unique identifier to locate depositors’ alternate accounts in other banks. However, depositors with balances exceeding N5 million have been paid the initial insured sum of N5 million, while the remaining balances (classified as uninsured deposits) will be paid as liquidation dividends upon realization of the defunct bank’s assets and recovery of debts owed to the defunct bank.
