Financial Trust seeks presidential intervention over liquidation of 2 banks

By Emeka Anaeto, Business Editor Financial Trust Group (FT Group) has appealed to President Bola Ahmed Tinubu to intervene in its 30-year dispute with the Nigeria Deposit Insurance Corporation (NDIC) over issues surrounding the accounting for assets realised from the liquidation of Financial Merchant Bank Limited and Republic Bank Limited, as well as the payment of any outstanding liquidation surpluses and dividends due to the estate of its late founder, Otunba Olufemi Ajayi. Financial Merchant Bank was taken over by the Central Bank of Nigeria (CBN) in January 1994 while Republic Bank was taken over in June 1995 and both institutions were immediately handed over to the NDIC for liquidation.

In a statement at the weekend, the Group said it is seeking the immediate release of comprehensive, independently verifiable and audited accounts of the assets realised from the liquidation of the two banks, including details of liabilities settled and any residual funds available for distribution to legally entitled parties. FT Group noted that Otunba Ajayi had significant interests in both institutions and maintained that a transparent accounting of their liquidation proceeds is necessary to establish whether any outstanding entitlements are due to his estate and other shareholders. The Group, therefore, urged President Tinubu to direct the NDIC to address the matter in accordance with applicable laws, its statutory obligations and the principles of transparency and accountability underpinning the Federal Government’s Renewed Hope agenda. “Financial Trust Group calls upon the management of the NDIC, under the Renewed Hope agenda of the Federal Government, to uphold transparency, discharge its statutory obligations and ensure the payment of all verified liquidation surpluses and…