Heritage Bank depositors to pocket N24.3bn in second

From Adanna Nnamani, Abuja

The Nigeria Deposit Insurance Corporation (NDIC) has declared a second liquidation dividend of N24.3 billion for depositors of defunct Heritage Bank Limited whose balances exceeded the statutory insured limit of N5 million at the time of the bank’s closure.

Heritage Bank’s operating license was revoked by the Central Bank of Nigeria (CBN) on June 3, 2024, after which the NDIC was appointed liquidator under Section 12(2) of the Banks and Other Financial Institutions Act (BOFIA) 2020 and Sections 55 (1 & 2) of the NDIC Act 2023. Following its appointment, the Corporation immediately began processing claims, paying insured deposits up to the statutory limit from the Deposit Insurance Fund, while simultaneously recovering debts, realising investments, and disposing of physical assets of the defunct bank.

“The NDIC is committed to ensuring that depositors recover as much of their funds as possible. Our efforts have enabled the payment of a first liquidation dividend in April 2025 amounting to N46.6 billion, or 9.2 kobo per N1.00, on a pro-rata basis to depositors whose accounts exceeded the insured limit” the Corporation noted.

Following continued asset recovery, the NDIC has now declared the second dividend of N24.3 billion, derived from proceeds of debt recovery, asset sales, and investment realisation. The payment will be made at a rate of 5.2 kobo per N1.00 on outstanding uninsured balances, bringing the cumulative liquidation dividend to 14.4 kobo per N1.00.

Payments will be made automatically to depositors whose bank accounts are linked to their Bank Verification Numbers (BVNs). “Eligible depositors who previously received the insured sum and first dividend will have their alternative accounts credited automatically. We advise all depositors to check their accounts for confirmation,” the NDIC said.

Depositors without alternative bank accounts, missing BVNs, or who have not yet claimed their insured sum or first dividend, are encouraged to visit the nearest NDIC office or complete the e-claim form at [https://ndic.gov.ng/claims-verification-forms](https://ndic.gov.ng/claims-verification-forms) to ensure prompt processing.

For clarity, a liquidation dividend is the payment made to depositors of a closed bank whose balances exceed the insured limit, using proceeds from asset disposal, investment realisation, and debt recovery. Payments to other creditors and shareholders occur only after depositors have been fully reimbursed and funds are available.

“The second dividend represents continued progress in our mandate to recover and return funds to depositors,” the NDIC stated. “Additional payments will follow as more assets are realised and debts collected. We remain committed to the timely recovery of outstanding obligations and the prompt reimbursement of depositors.”

With this latest payout, Heritage Bank depositors are optimistic of reclaiming a significant portion of their uninsured funds.

This reinforces confidence in the NDIC’s role as a custodian of depositor protection in Nigeria’s banking sector.