Some shareholders of First Bank of Nigeria Holdings Plc. have called for the immediate removal of Femi Otedola as chairman, alleging fraud and breaches of corporate governance.
The shareholders, who collectively hold 10% of the bank’s shares, have demanded an Extra-Ordinary General Meeting (EGM) to be convened within 21 days in accordance with Section 215(1) of the Companies and Allied Matters Act (CAMA).
The disgruntled shareholders have accused Otedola of assuming the role of chairman through the influence of the former Governor of the Central Bank of Nigeria (CBN), Godwin Emefiele.
They claim Otedola acquired a significant shareholding in First Bank with the assistance of Emefiele and the bank’s former CEO, Adesola Adeduntan, who allegedly helped facilitate Otedola’s takeover of the bank.
One of the key allegations is that Otedola became a non-executive chairman without securing the necessary security clearance from the State Security Service (SSS) and the Economic and Financial Crimes Commission (EFCC).
Additionally, the shareholders accused Otedola of ousting several key figures within the bank, including Adeduntan, former chairman Tunde Hassan-Odukale, Executive Director Tosin Adewuyi, and Group Head Folake Ani-Mumuney. A non-executive director, Ijeoma Nwogwugwu, was also reportedly dismissed for authoring a critical article against Otedola’s leadership.
The shareholders further raised concerns over Otedola’s concentration of power, claiming he has effectively taken full control of the bank with the help of his personal employees.
They fear that a proposed N360 billion private placement of shares could allow him to solidify absolute control of the financial institution, undermining checks, balances, and corporate governance structures.
An anonymous source also revealed that Otedola has secured a $45 to 50 million loan from the African Export-Import Bank (Afreximbank), which is reportedly intended to facilitate his acquisition of more shares in the bank.
Some shareholders have strongly opposed this move, suggesting that instead of a private placement, the shares should be offered via rights issue or public offer to ensure fairness and avoid the concentration of ownership.
These developments follow a recent organizational overhaul at the bank, which led to the dismissal of around 100 senior staff members, including top executives.
This restructuring is part of a wider corporate repositioning plan for 2025, following the confirmation of Olusegun Alebiosu as the bank’s new managing director and CEO in June 2024.
Shareholders and stakeholders continue to express concern over the future direction of First Bank under Otedola’s leadership, with calls for accountability and greater transparency.
Do you want to share a story with us? Do you want to advertise with us? Do you need publicity for a product, service, or event? Contact us on WhatsApp +2348183319097 Email: platformtimes@gmail.com
We are committed to impactful investigative journalism for human interest and social justice. Your donation will help us tell more stories. Kindly donate any amount HERE
