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Unity Bank Seeks Support of EFCC over N40Bn Debt

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Henry Semenitari, managing director, Unity Bank
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The management of Unity Bank Plc plans to invite the Economic and Financial Crimes Commission to help the bank recover over N40bn debt from customers that have been failing in fulfilling their loan obligations.

Henry Semenitari, managing director of the bank, who spoke to newsmen in Abuja on Thursday as he attended to customers during the 2014 Customers’ Week, also disclosed that the bank has started allotting shares to shareholders who subscribed to the bank’s recent rights issue.

As a first step to recovering the debt overhang, the bank has published a warning to the defaulting customers and plans to follow it up with the publication of their names as well as the staff that were responsible for the loans.

Semenitari said, “Historically, it was really bad but we have come up with a strategy. For the first time in the history of the bank, we have a very dedicated recovery team headed by someone at the general manager level and spread across regions.

“That is why you saw an advertisement in the press telling all debtors to come and make good all their accounts in two weeks. The truth is, in two weeks, if they refuse to show up, their names and amount owed the bank will all be published, including staff who were involved, whether ex or current staff.

“The value of the debts is in excess of N40bn; about N40bn to N50bn with the interests un-serviced over the years. We have said that we will do everything within the law and I think EFCC is an acceptable arm of the law to address your debt; so we will do that.

“There will be negotiations, of course. And whenever you negotiate loans, discounts come in; as long as you are not discounting at the expense of the bank. The issue of interest is in the inability of the customer to pay; that’s why penal rates come and penal rates are legal. If you don’t service your debts for x period of time, penal rates come in.”

Semenitari said when the current management took over the running of the bank in January, the immediate priority was to address capital inadequacy of about N40bn and this was done through rights issue that was oversubscribed.


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E-Financial

Moniepoint: More Customers Lament after Police Exposed Scammers Who Stole over N400m

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Nigerian customers of Moniepoint, a fintech bank, have expressed widespread frustration and discontent with the company’s operations, citing numerous difficulties and challenges, according to PM News.

Moniepoint: More Customers Lament after Police Exposed Scammers Who Stole over N400m

These complaints are coming on the heels of a recent revelation by the Nigerian Police Force, which exposed a scam involving two Nigerians who stole over N400 million using Moniepoint profiles

One such customer, Suleiman Abubakar Audu, shared his ordeal with the medium, revealing that his account, containing N522,000, had been inexplicably closed for over ten weeks.

Audu noted that despite providing all necessary documentation and repeatedly reaching out to the bank, his account remains inaccessible.

He further lamented that the situation has left him under significant financial stress.

Audu said: “Moniepoint blocked my account for over 10 weeks. I have provided all the necessary information but till now they didn’t release my account.”

He claimed that the bank also failed to provide any meaningful update.

Audu further lamented, saying: “I messaged them via all the handle begging for their reply and they keep telling me issues have been prioritised. I call them via phone call almost each and every day. They are just promising that it will be resolved and update will be provided via mail and till now no any update in the mail. They are just playing me around and I don’t even know the dimension of the issue.”

However, Audu’s experience is not an isolated incident as further investigations by PM News uncovered multiple customers facing similar challenges with Moniepoint.

Busayo Busayo, another disgruntled customer, reported that N50,000 had been deducted from her account since October 2024, with no refund forthcoming.

“Moniepoint na ole (are thieves). Since Oct, my 50k still dey with no refunds. Every time I chat them, different story,” she exclaimed.

Kelvin Doris, a student, also shared her frustrating experience, stating that a refund from Moniepoint to his UBA account had been delayed, leaving him without funds for his school fees.

“I did a refund on Monday from my Moniepoint to UBA, but I have not seen the money,” Doris stated.

Adeboye, another customer, alleged that Moniepoint had allowed someone to use his phone number to open an account in his name, raising concerns about the bank’s security measures.

He said: “Someone is using my number and account for moniepoint, OTP was sent to me twice when I didn’t request for it. I just ignored because I know it’s a work of scammers. next I see is congratulations your password was reset, and I was told that the account has been upgraded to merchant level.”

Orimisan Olakolegan, a Facebook user, also shared his experience, stating that his money had been stuck in Moniepoint since February 4, 2025, without any resolution.

“My money have stuck in moniepoint and their client since 4th February 2025 without any review,” Orimisan alleged.

In light of these allegations, customers urged the Federal Government of Nigeria and the Central Bank of Nigeria to investigate Moniepoint’s operations and address the numerous challenges faced by its customers.

The affected individuals also called for prompt action to rectify the situation and prevent further hardship.


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CBN Orders Bank Directors with Insider Bad Loans to Resign

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Olayemi Cardoso, Governor, Central Bank of Nigeria
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Central Bank of Nigeria (CBN) has ordered bank directors with non-performing insider-related loans to step down immediately, as part of efforts to strengthen corporate governance and enhance risk management in the banking sector.

Olayemi Cardoso, Governor, Central Bank of Nigeria

 

The directive was issued in a circular signed by Adetona Adedeji, acting director of Banking Supervision.

Insider loans are the credit facilities granted by the bank to its executives, directors, employees, major shareholders, or other related parties.

The apex bank also directed banks to recover outstanding debts by enforcing collateral recovery and seizing shareholdings of affected directors.

Furthermore, banks must regularise all insider-related facilities within 180 days, particularly those that exceed limits prescribed in Section 19 (5) of the Banking and Other Financial Institutions Act (BOFIA), 2020, and were previously approved without specific timelines.

The CBN stated: “Directors with non-performing insider-related facilities are required to step down immediately from the board, while the bank should commence immediate remediation of the loans through the recovery of the collaterals, including the shareholdings of the affected directors.”

It also stressed the importance of compliance with Section 19 of BOFIA 2020, which limits insider-related loans:

“Banks are required to regularise within 180 days, all insider-related facilities above the limits prescribed in Section 19 (5) of BOFIA, 2020.

“Individual director-related facilities must be brought within the 5 per cent paid-up capital limit, while the aggregate insider facilities for the bank must not exceed 10 per cent of its paid-up capital.”

The CBN emphasized that compliance with these directives is effective immediately to uphold regulatory standards and corporate governance best practices.

 

 

 

 

 

 


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CBN Orders Banks to Publish Details of Dormant Accounts, Unclaimed Balances

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Central Bank of Nigeria (CBN) has directed commercial banks and other financial institutions to publish the name of the account, the type of account, the name of the bank, and the branch where the dormant account is domiciled on their official websites.

CBN Orders Banks to Publish Details of Dormant Accounts, Unclaimed Balances

According to CBN, a dormant account refers to a bank account that has remained inactive for at least one year.

This is disclosed in a circular entitled, ‘Guidelines On Management Of Dormant Accounts, Unclaimed Balances And Other Financial Assets In Banks And Other Financial Institutions in Nigeria’ and signed by MichaeL C. Akuka, for: director, financial policy and regulation department, CBN.

As part of the new regulations, financial institutions are required to display key details such as the names of individuals authorized to operate the accounts, the type of account, and the branch where it is domiciled.

This information must be made available on their official websites.

For other financial institutions (OFIs) that do not have dedicated websites, CBN has mandated that the information be published on the website of their respective industry associations.

“In furtherance thereof, and in response to enquiries from stakeholders regarding the possible breach of the Nigeria Data Protection Act, 2023 (NDPA), banks and other financial institutions are required to note the following,” CBN stated.

“1. Section 25 (b) of the NDPA permits justifiable deviations from the general principles of the Act. Also, Section 72.

“ (ii) of the Banks and Other Financial Institutions Act mandates the Central Bank of Nigeria to issue Guidelines on the administration of unclaimed funds in banks and other financial institutions.

“2. Information to be published on banks’ websites as well as the association’s website (where applicable) shall include the name of the account, the type of account, the name of the bank, and the branch where the account is domiciled ONLY.

“Information to be published annually in at least two national daily newspapers or the premises of State and Unit microfinance banks, shall also convey the details as listed in (2) above.”

This directive follows an earlier order issued by CBN on July 19, 2024, requiring banks and financial institutions to transfer unclaimed balances and dormant account funds to the apex bank’s designated accounts.


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