The Nigeria Deposit Insurance Corporation (NDIC) has announced the sale of Heritage Bank’s headquarters in Lagos, alongside its branches and assets nationwide, following the bank's failure. This move comes as part of NDIC’s liquidation responsibilities.
An advertorial published on Thursday detailed that 48 properties and chattels in 62 locations, including vehicles, office equipment, and machinery, are up for sale. The bank’s head office and annex at 143 and 130 Ahmadu Bello Way, Victoria Island, Lagos, along with six other Lagos branches, four branches in Abuja, and four in Rivers State, are listed among the assets.
NDIC has invited interested buyers to inspect and bid on these properties, requiring 10% of the bid amount in a Certified Bank Draft. Successful bidders must pay the remaining amount within two weeks of notification.
In related developments, NDIC has begun verifying and compensating depositors with accounts holding N5 million or less, covering 99% of the bank's customers. NDIC Managing Director Bello Hassan disclosed that Heritage Bank’s total deposits stood at N650 billion, with a loan portfolio of about N700 billion.
The Central Bank of Nigeria (CBN) had revoked Heritage Bank's license, citing breaches of Section 12 (1) of BOFIA, 2020, due to the bank's poor financial performance and lack of recovery prospects. Stakeholders, including Mustapha Chike-Obi, Chairman of the Bank Directors Association of Nigeria, have supported the CBN's decision as necessary for sector stability.
The House of Representatives has also mandated an investigation into Heritage Bank's management and potential mismanagement contributing to its collapse. Additionally, they urged NDIC to review its operations to better fulfill its role as a deposit insurer and investor in failed banks.
