“Buyers Wanted:” NDIC Sets Date to Begin Sale of Heritage Bank Assets, Lists Those Eligible to Buy
- The Nigeria Deposit Insurance Corporation (NDIC) said it has commenced selling off properties belonging to the failed Heritage Bank
- The corporation said that it is giving preference to financial institutions as it seeks to continue financial services to depositors of the failed bank
- The NDIC disclosed that corporate bodies and individuals are eligible to bid for the bank’s assets and set December 4, 2024, to commence
Legit.ng’s Pascal Oparada has reported on tech, energy, stocks, investment and the economy for over a decade.
The Nigerian Deposit Insurance Corporation (NDIC) says the sale of Heritage Bank assets will commence on December 4, 2024.
The NDIC disclosed this via its director of communications, Bashir Nuhu, on Sunday, October 10, 2024, saying that the agency has begun selling off landed properties belonging to the failed bank.
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Bidders to follow due guidelines
He said the exercise aligns with the commission’s statutory powers as the liquidator of failed banks.
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Nuhu disclosed that interested buyers should submit bids at NDIC offices in Abuja, Lagos, Bauchi, Kano, Enugu, and Port Harcourt.
According to the corporation's statement, it began liquidating dividends to the defunct bank's uninsured depositors.
The NDIC said:
“Buyers who wish to participate in the auction are expected to follow the guidelines outlined below to ensure transparency, fair competition, equity, and accountability to recover commensurate values from the exercise. This is vital for the payment of liquidation dividends to eligible claimants.
It stated that preference should be given to financial institutions willing to buy any of the assets at the highest auction prices along with all physical assets at a whole value to continue providing financial services to Nigerians at the locations of the failed bank.
NDIC lists those eligible to bid
The NDIC said that interested corporate bodies and individuals can participate in the bidding process without prejudice, stating that the auction will be open and competitive.
The statement said bidders would be allowed to inspect the properties and chattels across all locations before disposal.
Legit.ng reported that on June 3, the Central Bank of Nigeria (CBN) revoked Heritage Bank’s licence.
The apex bank disclosed that the revocation was necessary because Heritage Bank could not improve its financial performance, threatening economic stability.
The CBN announced that the NDIC would be the liquidator, and the corporation began verifying and paying depositors.
NDIC adopts new gateway to pay Heritage Bank depositors
Legit.ng previously reported that the NDIC adopted the Nigeria Inter-Bank Settlement System (NIBBS) to pay depositors of the failed Heritage Bank, citing limitations in Remita.
NDIC’s deputy director, Pamela Roberts, disclosed this at a workshop for business editors and members of the Finance Correspondents Association of Nigeria (FICAN) in Lagos.
She explained that while the agency relied on Remita for payments since 2023, the company presented challenges, especially in handling large payments.
Proofread by Kola Muhammed, journalist and copyeditor at Legit.ng
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