NDIC begins liquidation of defunct Heritage Bank’s assets

The Nigeria Deposit Insurance Corporation (NDIC) has commenced the auctioning of landed properties and chattels of the failed Heritage Bank.

Director of Communication and Public Affairs Department of the Corporation, Bashir Nuhu, said in Abuja, yesterday, that the move is aimed at ensuring timely declaration of liquidation dividends to uninsured depositors of the failed bank.

He explained that the exercise is in pursuance of the Corporation’s statutory powers as the liquidator of failed banks under section 62 (1)(d) of the NDIC Act, 2023.

“This is another follow-up action sequel to the disposal of physical assets and chattels belonging to the defunct bank at its leased locations nationwide. Therefore, the auction of the landed assets shall be by competitive bidding in sealed bids scheduled to take place at the six selected locations of the Corporation across the country, for the affected 36 branches of the failed bank beginning from Wednesday, 4th December 2024,” he added.

Nuhu enjoined buyers who wish to participate in the auction to follow laid-down guidelines purposely aimed at ensuring transparency, fair competition, equity, and accountability to enable recovery of commensurate values from the exercise, adding that this is critical for the payment of liquidation dividends to eligible claimants.

He said: “The Corporation shall give preference to financial institutions who are willing to buy at the highest auctioned value to allow for the continuation of provision of banking services to the Nigerian public at the designated locations. This is desirable for bolstering financial inclusion as envisaged by the financial system regulatory authorities. However, corporate bodies and private individuals willing to compete are equally eligible to compete in the process without prejudice, as the auction shall be open and competitive to all bidders.”

The Corporation stressed that bidders would be allowed to inspect the properties and chattels across all locations one week before the date of disposal.

All interested parties are to make available 10 per cent bid security of the value of their sealed bids to be dropped in the bid box provided at the specific centre out of the six locations of the Corporation.