Nigeria Deposit Insurance Corporation (NDIC) says it recovered N28.48 billion from debtors of deposit money banks (DMBs) in-liquidation as of December 31, 2017.
Umaru Ibrahim, NDIC’s managing director/CEO, said this in the Corporation’s 2017 annual report, a copy of which was made available to the News Agency of Nigeria on Sunday in Abuja.
Ibrahim said the sum was higher than the N28.16 billion realised in 2016, saying, “To date, a total of N125.13 million was realised from debtors of closed microfinance banks (MFBs) as at December 31, 2017.
“Debt recoveries from primary mortgage banks (PMBs) increased by 22.60 percent from N195.17 million in 2016 to N239.27million in 2017.
“The sum of N21.39 billion was realised from disposal of physical assets of closed DMBs compared to N21.21 billion in 2016.
“The sum of N386.11million was also recovered from the sale of physical assets of MFBs in the period under review as against N361.45 million recovered in 2016.
“Also, the value of physical assets recovered from PMBs was N77.87 million in 2017, compared to N75.50 million as at Dec. 31, 2016.”
According to Ibrahim, the NDIC paid N11.50 billion to depositors, creditors, shareholders and other stakeholders of closed financial institutions in the year under review.
The NDIC boss said the corporation’s Deposit Insurance Fund (DIF) stood at N959.55 billion, Special Insured Institutions Fund (SIIF) was N114.39 billion, and its Non-Interest Deposit Insurance Fund (NIDF) stood at N0.693 billion in the period under review.
He said NDIC operating income increased from N122.68 billion in 2016 to N146.47 billion in 2017, and its total operating expenses decreased from N93.60 billion to N63.55 billion in 2017.
He further said the corporation remitted N22.77 billion per audit to the Consolidated Revenue Fund (CRF) of the Federation as of December 31, 2017.
Meanwhile, it paid N1.45 billion to 16, 324 depositors of 34 closed DMBs in 2017, a figure higher than the N0.61 million paid to 13 depositors in 2016.
He said N8.25 billion was paid to 442,661 insured depositors of DMBs in-liquidation as of December 31, 2017, as against N6.80 billion paid to 426,337 depositors as at December 31, 2016.
The figure represents an increase of 21.32 percent over the amount paid in 2016.
“NDIC paid N13. 24 million to 173 insured depositors of MFBs in-liquidation in 2017 compared with N8.49 million paid to 110 depositors in 2016.
“To date, the sum of N2.88 billion has so far been paid as insured deposits to 81,611 depositors of 187 closed MFBs as at December 31, 2017, as against N2.87 billion paid to 81, 438 depositors in 2016.
“Similarly, N15.38 million was paid as insured deposits to 170 depositors of PMBs in 2017 compared to N7.97 million paid to 75 depositors in 2016.
“On the aggregate, N68.40 million was paid to 840 depositors of 46 PMBs in-liquidation as at Dec.311, 2017, as against N53.03 million paid to 670 depositors in 2016,’’ the report quoted Ibrahim as saying.
On bank supervision, Ibrahim said NDIC collaborated with the CBN to supervise the activities of 25 DMBs, a non-interest bank, 1,008 MFBs and 38 PMBs in the year under review.
He said the supervision was done using the Risk Based Supervision approach, through an on-site examination and off-site surveillance of insured institutions.
According to Ibrahim, the continuous supervision of insured institution is to ensure financial system stability in the country.
To further promote confidence in the banking public through consumer protection, the NDIC boss said the corporation investigated various petitions and complaints received from bank customers and other stakeholders.
“It also ensured the affected customers’ complaints of ATM frauds, conversion of cheques and suppression of deposits among others are appropriately addressed.
“The NDIC also conducted risk based examination of 300 MFBs and 10 PMBs in 2017, compared to 350 MFBs and 10 PMBs examined in 2016, respectively,’’ he said.
On failure resolution, Ibrahim said that Keystone Bank, was acquired by Sigma Golf-River Bank Consortium on March 23, 2017 of which the consortium paid N25 billion as consideration for the acquisition.
He reiterated that Savannah Bank plc was yet to commence operation but the joint committee of NDIC and CBN would continue to engage its owners to facilitate the operation in the interest of depositors and creditors.
