How NDIC pays depositors of Heritage Bank after license revocation

• The Nigeria Deposit Insurance Corporation (NDIC) has commenced paying customers of the defunct Heritage Bank
• Customers of the bank disclosed that the NDIC lodged their funds in Heritage Bank in their alternative accounts using their BVN
• NDIC has said it will pay the bank’s depositors the total insured sum and asked them to provide proof

Legit.ng’s Pascal Oparada has reported on tech, energy, stocks, investment, and the economy for over a decade.

The Nigeria Deposit Insurance Corporation (NDIC) has begun paying customers of the defunct Heritage Bank two weeks after the Central Bank of Nigeria (CBN) revoked the bank’s license.

A bank customer said he received the N10,000 left in his account with Heritage Bank.

NIDC commences paying Heritage Bank customers after CBN revoked license Credit: Picture Alliance/Contributor
Source: Getty Images

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Ayodeji Olowe, founder of the loan management system Lendsqr, reportedly said the NDIC deposited the money in his alternative account using his BVN.

On Monday, June 4, 2024, the NDIC announced the immediate revocation of the Heritage Bank license due to a breach of banking guidelines.

According to reports, CBN said the move is part of its ongoing efforts to maintain a stable and healthy financial system as authorized under Section 12 of the Banks and Other Financial Institutions Act (BOFIA) 2020. 

The statement signed by Hakama Sidi Ali, the Acting Director of Corporate Communications CBN, added that the revocation was executed after Heritage Bank breached Section 12 (1) of BOFIA 2020. 

To ensure public confidence and integrity of the financial system, the CBN appointed the Nigeria Deposit Insurance Corporation (NDIC) as the Liquidator of Heritage Bank as stipulated in Section 12 (2) of BOFIA 2020. 

NDIC lists steps to claim trapped funds

The corporation said it will pay insurance claims to Heritage Bank depositors to the tune of N5 million to the bank’s depositors.

NDIC asked depositors of the liquidated bank without alternative bank accounts to follow simple steps to receive their insured sums, Legit.ng reported earlier.

Proof of ownership

The NDIC asked depositors without alternative bank accounts to visit the nearest branch with proof of ownership and verifiable means of identification, such as a National Identity Card (NIN) or BVN, to verify their deposits and subsequent payments.

Debtors' loan repayment

The NDIC assured the Nigerian banking public of its commitment to the continued safety of depositors’ funds in all licensed banks.

Before Heritage Bank's license revocation, CBN said the bank had continued to suffer and may not recover, making license revocation the next step.

Reports say Heritage Bank has its roots in the 1970s when it was founded as Societe Generale Bank, Olusola Saraki.

In January 2026, the CBN, under Chukwuma Soludo, shut down Societe Generale because it could not meet the maximum capital requirement of N25 billion to operate as a national bank. The bank successfully challenged the closure in court.

In 2012, IEI Plc, via IEI Investments Limited, acquired a Societe Generale Bank licence from the CBN.

MultiChoice laments N31.6 billion trapped in Heritage Bank

Legit.ng previously reported that the MultiChoice Group, owners of DSTV, said it had an account balance of N31.6 billion with the liquidated Heritage Bank.

The satellite television company disclosed in its annual report for the 2024 Financial Year that it had a deposit of N33.7 billion with the bank as of the 2024 fiscal year ending on March 31, 2024.

The company disclosed that the balance was subsequently reduced to N31.6 billion due to remittance before the Central Bank of Nigeria revoked the bank's license on June 3, 2024.

Source: Legit.ng