The Managing Director and Chief Executive Officer of the Nigeria Deposit Insurance Corporation (NDIC), Mr. Thompson Oludare Sunday, says the Corporation now operates under a more robust legal framework that empowers it to hold individuals accountable for bank failures.
Sunday stated this when he received the President and Chairman of the Council of the Business Recovery and Insolvency Practitioners Association of Nigeria (BRIPAN), Mr. Chimezie Victor Ihekweazu (SAN), and members of his council on a courtesy visit to the NDIC headquarters in Abuja.
According to him, the enactment of the NDIC Act No. 30 of 2023 and the Banks and Other Financial Institutions Act (BOFIA) 2020 has significantly strengthened the Corporation’s authority in the liquidation of failed insured institutions.
He explained that the enhanced legal provisions have equipped the NDIC to prosecute individuals found culpable in bank failures — a task that was difficult under the previous legal regime.
“The enhanced powers granted to the Corporation under the NDIC Act 30 of 2023, BOFIA 2020, and the improved understanding of the judiciary have made it impossible for individuals to hide under the law to escape liability,” Sunday said.
“With stronger legal backing, people now approach the Corporation to settle out of court, not because they are being forced, but because they can see that the noose is tightening around those responsible for failed banks.”
The NDIC boss commended the National Assembly for addressing long-standing legal gaps that had hindered effective enforcement, and also lauded the judiciary for demonstrating greater expertise in deposit insurance law through sound adjudications on failed bank cases.
Sunday cited the swift realisation of assets and payment of a first round of liquidation dividends to uninsured depositors of the defunct Heritage Bank Limited — within one year of its licence revocation — as evidence of the impact of the new legal framework.
He assured that the Corporation would continue to leverage the strengthened laws while deepening collaboration with BRIPAN and other stakeholders to ensure transparency and efficiency in bank liquidation processes.
In his remarks, BRIPAN President, Mr. Ihekweazu, highlighted the association’s achievements in harmonising Nigeria’s insolvency laws into a unified framework. He said the move had improved insolvency and business recovery practices in the country and created more viable pathways for resolving financial distress.
Ihekweazu also called for stronger collaboration between BRIPAN and NDIC to promote capacity building and enhance best practices in insolvency management and business recovery.
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