The Nigeria Deposit Insurance Corporation (NDIC) has announced its readiness to commence the payment of the first tranche of liquidation dividends to uninsured depositors of the defunct Heritage Bank. This long-awaited development is scheduled for April 2025 and follows significant progress in recovering the bank’s assets and debts.
The announcement was made by the NDIC’s Acting Head of Communication and Public Affairs, Hawwau Gambo, in a statement emphasizing the Corporation’s commitment to protecting depositors’ funds.Heritage Bank’s banking license was revoked by the Central Bank of Nigeria (CBN) on June 3, 2024, due to financial instability. Following this, the NDIC was appointed as the liquidator, tasked with managing the bank’s closure process.
Since then, the Corporation has been actively working to reimburse insured depositors, recover debts owed to the bank, and sell off its physical assets. Insured depositors have already received payments of up to ₦5 million per account holder, while those with balances exceeding this limit are now set to receive their remaining funds as liquidation dividends.
The NDIC clarified that payments would be made on a pro-rata basis, in compliance with Section 72 of the NDIC Act 2023, which prioritizes settling deposit liabilities before addressing other creditor claims. This approach ensures that depositors are given precedence during liquidation processes.
The Corporation also highlighted its success in recovering a substantial portion of Heritage Bank’s assets, enabling this first tranche of payments to move forward.
While many depositors have already received their insured sums, challenges remain for some individuals due to issues such as missing Bank Verification Numbers (BVNs), post-no-debit restrictions on accounts, or mismatches in account details.
The NDIC has urged affected depositors to resolve these discrepancies promptly by providing necessary documentation through its website or zonal offices.
The Corporation reassured Nigerians of its dedication to safeguarding depositors’ interests and maintaining public confidence in the banking sector. It emphasized that all other licensed banks remain stable and sound.
With preparations underway for this initial payout, the NDIC has reiterated its commitment to ensuring that no depositor is left behind as it continues its efforts to recover additional funds for subsequent dividend payments.
This milestone reflects the NDIC’s proactive approach in managing bank failures and protecting depositors’ funds over its three decades of operation.
As more recoveries are made, uninsured depositors can expect further tranches of liquidation dividends in the near future.
