The Nigeria Deposit Insurance Corporation (NDIC) has addressed the delays in paying insured deposits to customers of the defunct Heritage Bank Plc, which had its banking license revoked by the Central Bank of Nigeria (CBN) on June 3. Here are the key points from the situation:
1. **BVN Account Discrepancies**:
– According to Bello Hassan, the Managing Director of NDIC, discrepancies in account names linked to Bank Verification Numbers (BVN) of some defunct Heritage Bank customers are causing delays in payment.
– NDIC has already started payments to customers since June 6, leveraging BVNs to trace alternate accounts in other banks and pay insured amounts.
2. **Verification Process**:
– Customers who have not received their insured deposit alerts are urged to visit NDIC’s website and complete verification forms.
– This process also includes depositors without BVN-linked alternate accounts, aiming to ensure all eligible depositors receive their payments.
3. **Liquidation Dividends**:
– Depositors with more than five million naira in the bank will also receive liquidation dividends.
– NDIC has initiated the disposal of physical assets and recovery of loans to fund these dividends, emphasizing ongoing efforts to recover assets without waiting for full recovery before initiating dividend payments.
4. **CBN’s Action**:
– The CBN revoked Heritage Bank’s license citing its failure to improve financial performance, which posed a threat to financial stability.
The NDIC continues to work towards resolving these issues and ensuring that depositors of Heritage Bank receive their rightful payments in a timely manner, despite the challenges posed by BVN discrepancies.