By Bassey Udo
The Central Bank of Nigeria (CBN) on Tuesday announced the revocation of the operational licenses of Aso Savings and Loans Plc and Union Homes Savings and Loans Plc.
The apex bank said the revocation of the licenses of the two banks was part of its efforts to re-position the mortgage sub-sector and promote a culture of compliance with relevant laws and regulations.
The decision, the CBN said, was in accordance with the powers conferred on it under Section 12 of Banks and Other Financial Institutions Act (BOFIA) 2020) and Section 7.3 of the Revised Guidelines for Mortgage Banks in Nigeria.
The CBN said the affected financial institutions violated various Sections of BOFIA 2020 and the Revised Guidelines for Mortgage Banks in Nigeria.
Parts of the infractions leveled against the two banks include their failure to meet the minimum paid-up share capital requirement for the category of the bank licence granted to them by the CBN and their having insufficient assets to meet their liabilities.
Other infractions include being critically undercapitalised with a capital adequacy ratio below the prudential minimum ratio as prescribed by the CBN, and failure to comply with several directives and obligations imposed on them by the CBN.
The Acting Director, Corporate Communications Department of the CBN, Mrs. Hakama Sidi-Ali said that despite the decision to sanction the two banks, the Bank remained committed to its core mandate of ensuring financial system stability.
Meanwhile, the Nigeria Deposit Insurance Corporation (NDIC) on Tuesday issued a notice to the public, particularly depositors of the two banks about the commencement of their liquidation processes.
As part of the processes, the NDIC said it has already appointed the liquidator of the defunct banks in line with the provisions of Section 12(2) of the BOFIA) 2020.
With the commencement of the liquidation of the two banks in line with Section 55, subsections 1 and 2 of the NDIC Act 2023, the NDIC said it has begun the verification and payment of insured deposits to their depositors.
Consequently, the corporation said verified depositors would be paid their insured deposits up to the maximum amount of ₦2m per depositor, using their Bank Verification Number (BVN) as a unique identifier to locate their alternate bank accounts into which the insured sums would be automatically credited.
However, the regulator said depositors with balances in excess of ₦2m would be paid the initial insured amount, while their outstanding balances would be settled as liquidation dividends upon the realisation of the assets and recovery of debts owed to the failed banks.
The NDIC disclosed that the sale of the liquidated banks’ assets would soon commence, while the recovery of outstanding loans would come in order to expedite payment of uninsured sums to depositors.
On submission of claims, the Corporation said the verification and processing of depositors’ claims may be carried out online or physically.
Depositors wishing to submit their claims online were advised to visit the NDIC claims portal at https://ndic.gov.ng/claims-verification-forms/ and complete the digital claims form with all required information, before clicking the “Submit” button.
Similarly, those preferring physical verification were directed to visit the nearest branch of the liquidated banks between Tuesday, December 16, 2025 and Thursday, December 30, 2025, to be attended to by NDIC officials.
For verification of deposits and subsequent payment of insured sums, the NDIC asked depositors to present the following documents, including proof of account ownership; a verifiable means of identification (Driver’s License, Permanent Voter’s Card, or National Identity Card), and details of their alternate bank account and BVN.
Also, depositors were advised to ensure that transaction alerts were activated for their alternate bank accounts to enable them receive notifications of payments.
Where alerts are not active, the NDIC urged depositors to check their account balances using their bank’s USSD codes or by visiting their bank branches.
Creditors of the liquidated banks were advised to submit their claims online, or by visiting the nearest branch of the banks between Tuesday, December 16, 2025 and Thursday, December 30, 2025.
Regardless, the NDIC said in accordance with the provisions of the law, payment of liquidation dividends to creditors would commence after all depositors have been fully paid.
Payment to deposit of Bank Staff, the NDIC said, would be made from the proceeds of the sale of the banks’ assets, as liquidation dividends after the full payment to all depositors, while payments to shareholders would be paid as liquidation dividends from further realisation of the banks’ assets and the recovery of outstanding debts after the full payment to depositors and creditors.
Debtors of the defunct banks were advised to visit the Corporation’s Asset Management Department to ensure the settlement of their indebtedness in full.
While urging members of the public, particularly depositors and other stakeholders, seeking further information or clarification on claims verification and payments, to contact the NDIC through the various digital channels, including email: claimscomplaints@ndic.gov.ng, or telephones in the Claims Resolution Department on Weekdays, between 9:00 a.m. and 5:00 p.m. on 09037273810, 09038197064, 08109313326, 08104220807, 09064657140.
Also, they were advised to contact: The Director, Claims Resolution Department, NDIC Lagos Office, Marina, Lagos, or website: www.ndic.gov.ng and NDIC Social Media Handles, namely Facebook, Instagram, Twitter (X), LinkedIn, YouTube – @NDICNigeria
While assuring the entire banking public of its commitment to the continued safety of depositors’ funds in all licensed banks, the NDIC said depositors were encouraged to continue their banking businesses without fear, as banks whose licenses have not been revoked remain safe and sound.
