Managing Director/Chief Executive Officer, Nigerian Deposit Insurance Corporation, Alhaji Umaru Ibrahim, said a total of N73.5bn was paid as liquidation dividends to 250,209 depositors of Deposit Money Banks in 2012.

He also said despite the daunting challenges in the nation’s financial market, the corporation paid a cumulative insured deposits of N6.82bn to 528,212 depositors of closed banks as of December 31, 2012.

Ibrahim said the 2012 disbursement was against N6.68bn paid to 527,942 insured depositors in 2011.

According to a statement on Sunday, Ibrahim stated this in Yenagoa on Friday during the corporation’s Special Day at the ongoing 2013 Yenagoa Trade Fair.

The NDIC boss also said a total sum of N2.505bn was paid to 75,322 verified depositors of 95 out of 103 closed microfinance banks as of December 2012 as against N2.249bn paid to 72,062 verified depositors in 2011.

Ibrahim said, “It is pertinent to indicate that a total of 14 out of the 34 banks-in-liquidation prior to 2006 had declared final dividends of 100 per cent of their total deposits, indicating that all depositors of the affected closed banks had fully recovered their deposits.

“Similarly, NDIC had declared liquidation dividends and paid general creditors of eight banks-in-liquidation. Also, the erstwhile shareholders of three banks-in-liquidation were paid N1.122bn and N1.286bn as of December 31, 2012.”

He said the participation of the corporation in the Yenagoa Trade Fair was informed by the NDIC’s commitment to reach out to its stakeholders in the quest to enhance public awareness on its mandate and operational activities.

He said the participation enabled the corporation to move nearer to the people of the South-South region.

He said, “The corporation has been participating in different trade fairs such as the Lagos, Kaduna and Enugu international trade fairs on a regular basis.

“Happily, the Yenagoa Trade Fair offers another opportunity to realise one of our objectives as it brings together various stakeholders from diverse sectors of the economy to deliberate on finding ways of promoting investments and business opportunities in Nigeria.”

He said the corporation was aware of the perennial problems between the customers and their banks, ranging from arbitrary bank interest charges, account balance manipulations to outright fraud and forgeries.

“While the banks have taken some steps to address the problems, the corporation has introduced other measures to combat such infractions by establishing a help desk with a dedicated toll-free 24-hour telephone line.

“This process will enable bank customers and the general public to report financial abuses at all times.

“In addition, the corporation created complaint units in the bank examination department and special insured institutions department to cater for the need of customers of deposit money banks and primary mortgage banks/microfinance banks, respectively,” he added.

Source: Punch (by Simon Utebor)