The Nigerian Deposit Insurance Corporation (NDIC) has said that there is no binding sales agreement between it and Senator Farouk Bello Bunza over the disputed Ikoyi property, stressing that the transaction was automatically terminated following his refusal to accept revised terms.

At a media briefing in Abuja on Wednesday, the Managing Director of NDIC, Mr Sunday Oludare Thomson, explained that the property located at Plot 55, Federal Government Layout, Banana Island, Ikoyi, Lagos, was initially offered to Senator Bunza under new conditions after the closure of Heritage Bank.

He said, “The Corporation’s revised offer was accompanied by specific conditions, including the fact that the property is being offered on an ‘as-is’ basis, due to the legal action and the custody of the title document, which had been established to be in custody of an erstwhile director of the defunct bank.”

According to Mr Thomson, Senator Bunza was required to formally accept the offer within seven days of receipt, settle outstanding instalments accrued between June 2024 and September 2025 amounting to ₦1,777,777,777.76, and pay the balance of ₦2,148,888,888.91 in equal monthly instalments commencing November 2025. He was also required to execute a Deed of Undertaking authorising NDIC to debit his accounts in the event of default.

“Senator Bunza failed/refused to submit a formal letter of acceptance of the offer.

He also failed to execute and return the Deed of Undertaking as required under the terms of the re-offer. Senator Bunza, however, paid the outstanding instalment sum of ₦1,777,777,777.76 on September 30, 2025 and transmitted evidence of the electronic transfer to the Corporation,” Mr Thomson said.

The NDIC boss added that the corporation issued a letter acknowledging the payment and reminding Senator Bunza of the need to satisfy the conditions of the offer, but he declined to accept the correspondence.

“Senator Bunza’s failure to fulfil the terms of the offer thus automatically terminated the offer for the sale of the property, bringing an end to the contract of sale,” he stated.

Mr Thomson confirmed that the corporation received a request from Coronation Merchant Bank seeking an undertaking to enable financing for Senator Bunza, but NDIC declined, citing his refusal to accept the revised terms.

He said, “Accordingly, the offer remains rescinded, and the sum of ₦2,611,111,111.09 earlier deposited by Senator Bunza towards the property shall be refunded forthwith upon submission of his account details.”

He dismissed insinuations that the corporation was influenced by external interests, insisting that NDIC cannot sell any property on credit as this would jeopardise depositors’ funds. He emphasised that the corporation acts in line with the NDIC Act 2023, which authorises it to revoke agreements entered into by distressed banks if such deals are deemed contrary to public interest.

Senator Bunza, however, has maintained that NDIC has no authority to cancel the sale, arguing that he had already met the requirements stipulated in the binding agreement he signed with the defunct Heritage Bank. He warned that the corporation cannot tamper with the original contract.

The dispute underscores the broader powers granted to NDIC in managing assets of failed banks, particularly in ensuring that liquidation processes protect depositors and creditors.

The corporation has indicated that the Ikoyi property will be offered to the general public in due course as part of efforts to recover funds.