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Emefiele: CBN sacks boards of Union, Keystone, Polaris Banks


The Central Bank of Nigeria, CBN, on Wednesday disolved the boards of Union Bank, Keystone Bank and Polaris Bank.

All affected banks are involved in the special investigations into how the CBN was run under the ex-CBN governor, Godwin Emefiele.

Sidi Hakama, the acting Director of Corporate Communications at CBN, disclosed this in a statement on Wednesday.

The CBN assured the public of the safety and security of depositors’ funds.

According to the apex bank, this action became necessary due to the non-compliance of these banks and their respective boards with the provisions of Section 12(c), (g), (h) of the Banks and Other Financial Institutions Act, 2020.

“The Central Bank of Nigeria (CBN) has dissolved the Board and Management of Union Bank, Keystone Bank, and Polaris Bank.

“The Bank’s infractions vary from regulatory non-compliance, corporate governance failure, disregarding the conditions under which their licenses were granted, and involvement in activities that posed a threat to financial stability, among others.

“The CBN assures the public of the safety and security of depositors’ funds and remains resolute in fulfilling its mandate to uphold a safe, sound, and robust financial system in Nigeria. Our banking system remains strong and resilient,” it stated.

The action follows the recommendation of the Special Investigator, Jim Obazee, appointed by President Bola Tinubu in July 2023, to probe the activities of the CBN and other relevant establishments.

he report stated that Emefiele used proxies to acquire Union Bank of Nigeria for Titan Trust Bank Limited and Keystone Bank without any evidence of payment.

He recommended that the federal government recover the banks.

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