CBN Speaks on Reported Plans To Close Down 3 Commercial Banks After Heritage Bank
- The Central Bank of Nigeria (CBN) has denied reports circulating online that it plans to revoke the licenses of Unity, Polaris, and Keystone banks
- This follows the decision to cancel the banking license of Heritage Bank over violations of its financial rules
- Nigerians have called on the CBN to prosecute the perpetrators of fake news to serve as a deterrent to others
The Central Bank of Nigeria (CBN) has said it has no plans to revoke the licenses of Unity, Polaris and Keystone banks.
Online reports, not by Legit.ng, claimed that the central bank would revoke the licenses of the three banks, similar to Heritage Bank.
Source: Getty Images
In reaction, CBN posted on its social media pages on Tuesday, June 4, that the content first published by the Scrutiny was fake.
The post reads:
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“The content is fake and not from the CBN”
CBN revokes Heritage Bank banking license
Legit.ng had reported the CBN on Monday, June 4, revoked the licence of Heritage Bank.
According to the CBN, the decision was made because the bank had failed to improve its financial performance.
CBN, in a statement, said:
“The Board and Management of the bank have not been able to improve the bank’s financial performance, a situation which constitutes a threat to financial stability."
The closure of Heritage Bank has led to rumours that the CBN will turn attention to other commercial banks.
Nigerians react to CBN reaction
Social media users have reacted to the fake news that the CBN will revoke the licenses of Unity, Polaris and Keystone banks.
@olumidecapital:
"This is not a joke, it caused a lot of damage to the investors in the banks yesterday."
@oshinterbz:
"I have already closed my Keystone bank account."
@luxlyangels:
"The editor of the newspaper should be punished. Now is the time when the law should be put in place to use social media or the people will learn a lesson."
Only 17 banks will survive recapitalisation
Earlier, Legit.ng reported that Ernst and Young, an accounting firm based in the United Kingdom, suggested that only 17 out of 24 banks in Nigeria will meet the Central Bank of Nigeria (CBN) 's capital requirement if raised 15 times from their current N25 billion.
The report also noted that options available to banks outside CBN requirements include mergers and outright acquisitions.
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Source: Legit.ng
