The Central Bank of Nigeria (CBN), has revoked the licence of Heritage Bank Plc with immediate effect.
The Apex bank made the announcement in a statement signed by the Acting Director, Corporate Communications, Hakama Sidi Ali.
READ ALSO: NIMC Unveils National ID Card With Payment Features
“The action has become necessary due to the bank’s breach of Section 12 (1) of BOFIA, 2020. The Board and Management of the bank have not been able to improve the bank’s financial performance, a situation which constitutes a threat to financial stability”, the document reads in part.
According to the statement, the step was necessitated after failure to recover following a period during which the CBN engaged with the bank and prescribed various supervisory steps intended to stem the decline.
The Central Bank of Nigeria said it took the action to strengthen public confidence in the banking system and ensure that the “soundness of our financial system is not impaired”.
The Nigeria Deposit Insurance Corporation (NDIC) has however been appointed as the Liquidator of the bank in accordance with Section 12 (2) of BOFIA, 2020.