By peterside Rejoice
The Managing Director and Chief Executive Officer of the Nigeria Deposit Insurance Corporation (NDIC), Mr. Thompson Oludare Sunday, has said that the newly enacted NDIC Act has ushered in a new era of accountability and transparency in Nigeria’s banking sector.
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 during a courtesy visit to the NDIC headquarters in Abuja.
According to him, the NDIC Act No. 30 of 2023, alongside the Banks and Other Financial Institutions Act (BOFIA) 2020, has significantly strengthened the Corporation’s powers to liquidate failed insured institutions and prosecute individuals responsible for bank failures.
He explained that the new laws have equipped the NDIC with enhanced legal backing to recover assets from failed banks and ensure justice for depositors.
“The enhanced powers granted to the Corporation under the NDIC Act 30 of 2023 and BOFIA 2020, coupled with the judiciary’s improved understanding of deposit insurance law, have made it impossible for individuals to hide under legal loopholes to escape liability,” Mr. Sunday said.
He noted that the Corporation’s operational efficiency has improved remarkably, with increased asset recovery and dividend payments to depositors.
Highlighting the success of the new framework, Sunday cited the NDIC’s achievement in declaring the first round of liquidation dividends to uninsured depositors of the defunct Heritage Bank Limited within one year of its licence revocation, describing it as unprecedented in Nigeria’s banking history.
He commended the National Assembly for addressing the long-standing legal gaps that had limited the Corporation’s performance in the past and praised the judiciary for its growing expertise in handling deposit insurance cases.
Sunday also expressed the Corporation’s readiness to deepen collaboration with BRIPAN and other stakeholders to further strengthen the nation’s financial system and depositor protection mechanisms.
In his remarks, BRIPAN President, Mr. Chimezie Victor Ihekweazu (SAN), commended the NDIC for its leadership role in improving Nigeria’s bank resolution framework.
He noted that BRIPAN has made significant progress in harmonizing insolvency and business recovery laws, adding that stronger collaboration among regulators, practitioners, and policymakers is needed to promote accountability, ensure business recovery, and sustain public confidence in the financial sector.
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