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The Central Bank of Nigeria (CBN) has sacked the Board and Management of Union Bank, Keystone Bank and Polaris Bank.
“This action became necessary due to the non-compliance of these banks and their respective boards with the provisions of Section 12(c), (f), (g), (h) of Banks and Other Financial Institutions Act, 2020. 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 pose a threat to financial stability, among others,” the CBN said in a statement.
The Boards of Directors and Chief executives of the respective banks were invited to a meeting that started at about 1pm on Wednesday where they were addressed for 30 minutes each by the apex bank’s Deputy Governor Financial System Stability Phillip ikeazor alongside three other Deputy Governors, Emem Usoro, Muhammad Dattijo and Bala Bello.
At the meeting, the CBN reeled out issues of non-compliance and other infractions committed by the affected banks and then formally sacked the boards.
Many of the findings may not be unconnected with the Report of the Special CBN investigator, Mr Jim Obazee who was appointed under Executive Order by President Bola Tinubu to investigate the monetary authority and related entities in June this year.
It is not clear what next for the banks but it is expected that new management and directors will be appointed.
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