Banking
Customers Slam N7bn Suit on Adam Nuru-led FCMB
By Modupe Gbadeyanka
Two customers of First City Monument Bank (FCMB), Sunlek Investment Limited and Sunsteel Industries Limited, have slammed a N7 billion suit on the lender headed by Mr Adam Nuru.
The companies accused the financial institution of breach of contract concerning credit facilities they obtained from the bank some years ago.
In a report by Global Excellence Magazine, it was stated that in a 126-paragraph statement of claim accompanied by another 27 paragraphs of a witness sworn to on oath and filed before a Federal High Court sitting in Lagos by a Lagos lawyer, Mr John Olusegun Odubela (SAN), the two firms claimed they operated loan accounts with FCMB upon which disbursement was made for all letters of credit/loan facility granted to them by the bank for the importation of raw materials.
However, since May 23, 2013, when the bank entered into an agreement to grant them loan and open a loan facility account for them till date, they have not been given the particulars of the loan facility account or has any statement of account of this loan account been made available to them.
The plaintiffs further alleged that by commitment letter dated May 23, 2013 and the term sheet for facility duly signed/executed by the two parties, FCMB committed and undertook to fund on fully-underwritten basis the debt finance of $1.5million and N422.5million Thereafter, other loans facilities were granted to the companies by the bank.
It was stated that the total amount of the letters of credit opened by the bank in favour of the companies were $8.0 million out of which said sum the companies contributed 10 percent based on the terms of the grant of the various offer for facility utilized to open letters of credit from March 22, 2013 to September 2017. The loans facilities were well secured.
The plaintiffs contended that from the available records available to them, it was reflected that they have fully repaid their indebtedness to the bank.
However, the companies said they were surprised when they received the bank’s letter that their indebtedness to the bank as at March 14, 2019 was in the sum of N1.13 billion and that the debt should be liquidated within 14 days, despite the fact that they have fully repaid the loan they took from the bank.
As a result of this, they engaged the services of an accounting firm to audit their account. They claimed that their letter and their solicitor’s letter requesting for statements of accounts of the loan accounts from the FCMB were not responded to and that from the forensic analysis of their accounts, it was observed that they were not in any way indebted to the bank in the sum of N1.13 billion as claimed by the lender.
The plaintiffs said from the forensic audit report, it was discovered that there were two transactions carried out on letter of credit, wherein substantial volume of the product was damaged. The value of items purchased by the letters of credit was in the sum of $1,999,965 for the importation of cold rolled steel strips, galvanized steel strips and Zinc wire from Chemetals (HK) limited Unit 1105H/F Lippo Center 89, Queens Way Hong Kong.
The companies said FCMB was solely and unilaterally liable to undertake all the risk insurance policy Clause A for the consignment/raw material to be imported by virtue of the letter of credit.
According to them, the bank solely negotiated insurance policy obtained for the products purchased and appointed Mansard Insurance Plc to provide insurance cover Clause C for the importation of the consignment.
It said upon taken delivery of the consignment after payment of custom duties and port charges, it was discovered that a large volume of the said consignment was in various forms of damaged conditions.
The plaintiffs claimed they informed the bank about the damaged consignment and the need to pursue insurance claim for the damage consignment and that FCMB requested for documents from the officers of the plaintiffs, which were sent to them to pursue the claim.
In the statement of claim, the plaintiffs said however, the agent of the bank sent a report to them saying from the nature of damages to some of the products, the insurance policy, being a Clause C policy as undertaken by the bank, was not sufficient to cover the loss from the said damages to the products.
The total value of the consignment damaged was in the sum of $628,386.23 and N336.14 million.
The plaintiffs said FCMB ought to have undertaken an all risk insurance policy cover with the insurance company. As a result of the damages to the consignment, they were not fit for use and could not be refined in the plaintiffs’ machine and remained in their factory as junk or waste material.
The plaintiffs averred that they have suffered financial loss as a result of the breach of contract in the sum of N884.9 million which has negatively affected their business operation since 2014 till date.
They also averred that they are entitled to claim damages for breach of contract against the bank who had by its various acts of breaches of the various letters of offer for facility caused great loss to their business. Consequently, the plaintiffs claim against FCMB jointly and severally are as follows:
“General damages in the sum of N5 billion.
“A declaration that the plaintiffs are not indebted to the bank in any sum premised on the fact that they have settled all their indebtedness on the facilities granted to them by the bank.
“A declaration that the bank breach the terms of letter of credit and is liable for the loss of the letters of offer on importation, in the sum of $1,999,865.
“A declaration that the bank is liable to refund to the plaintiffs N884.9 million being the losses uncured on the damaged consignment purchased through letters of credits and failure and refusal of the bank to obtain an all risk insurance policy for the shipment of the said consignment.
“An order for the payment of N826,996,135.00 being the total sum wrongly debited on the plaintiffs account by the bank.
“An order of the court restraining FCMB from appointing and or registering any instrument of appointment of an official receiver or any instrument whatsoever made for the purpose of enforcing the security for the payment of alleged indebtedness in the sum of N1.13 billion being allegedly claimed against the plaintiffs by the bank and a cost of litigation assessed at N250 million.”
By Modupe Gbadeyanka
The Economic and Financial Crimes Commission (EFCC) has helped First Bank of Nigeria to recover the sum of N802.4 million from a suspect, Mr Kingsley Eghosa Ojo, who unlawfully took possession of over N1.3 billion belonging to the bank.
The funds were handed over the financial institution by the Benin Zonal Directorate of the anti-money laundering agency on Monday, January 12, 2026, a statement on Tuesday confirmed.
First Bank approached the EFCC for the recovery of the money through a petition, claiming that the suspect received the money into his account after system glitches.
The commission in its investigation; discovered that the suspect, upon the receipt of the money, transferred a good measure of it to the bank accounts of his mother, Mrs Itohan Ojo and that of his sister, Ms Edith Okoro Osaretin, and committed part of the money to completion of his building project and the funding of a new flamboyant lifestyle.
With the recovery of the money from the identified bank accounts, the EFCC handed it over in drafts to First Bank.
While handing over the lender, the acting Director for the Directorate, Mr Sa’ad Hanafi Sa’ad, stressed his organisation would continue to discharge its mandate effectively in the overall interests of society.
“The EFCC Establishment Act empowers us to trace and recover proceeds of crime and restitute the victim. In this case, First Bank was the victim and that is exactly what we have done.
“We will continue to discharge our duties to ensure that fraudsters do not benefit from fraud and that economic and financial crimes are nipped in the bud,” he said.
In his response, the Business Manager for First Bank in Benin City, Mr Olalere Sunday Ajayi, who received the drafts on behalf of the bank, commended the EFCC for the swiftness and the professionalism it brought to bear in the handling of the matter and expressed the bank’s gratitude to the commission.
He described the EFCC as one of Nigeria’s most effective and reliable institutions.
Meanwhile, Mr Kingsley and all other suspects in the matter have been charged to court for stealing by the EFCC.
By Henry Obiekea
Nigeria is at a defining moment in 2026. After several years of bold macroeconomic adjustments, including foreign exchange unification and structural reforms, the country is moving from stabilization into expansion. With the Central Bank of Nigeria restoring confidence in the Naira and foreign reserves reaching a five-year high of over 45 billion dollars, the next phase of growth will be shaped by how effectively Nigerians can participate in the formal financial system.
Technology-enabled banking is playing a critical role in this transition. Commercial banks remain the backbone of the system, providing balance sheet strength, regulatory depth, and long-term capital essential for national development. Yet in a country of over 220 million people, physical access alone cannot deliver financial inclusion at scale.
Mobile-first and digitally delivered financial services are bridging this gap. By extending regulated banking beyond physical locations into everyday devices, licensed microfinance banks and other regulated institutions are bringing millions of Nigerians into the formal economy. This approach helped push formal financial inclusion to over 64 percent in 2025, ensuring the last mile is no longer excluded.
Achieving the Federal Government’s target of a one trillion dollar GDP by 2036 requires efficient capital flow. In the first quarter of 2025 alone, Nigeria recorded over 295 trillion naira in electronic payment transactions. Faster, secure financial infrastructure supports modern commerce, strengthens trade, and improves overall economic productivity.
Micro, small, and medium-scale enterprises, which contribute nearly 48 percent of GDP, are central to this growth. Technology-driven banking models are helping to close long-standing credit gaps. By responsibly using alternative data to assess risk, small-ticket working capital loans provide the “pocket capital” businesses need to grow. This builds a pipeline of enterprises that can mature into larger corporate clients within the broader banking ecosystem.
Digitally delivered financial services also strengthen public revenue mobilisation. Increased transaction transparency supports a broader tax net and contributes directly to government revenues through stamp duty, reinforcing fiscal sustainability.
This evolution is supported by a maturing regulatory environment. The Central Bank of Nigeria’s Open Banking framework, rolling out in phases from early 2026, ensures that all regulated institutions operate under consistent oversight. Secure data sharing standards mean customers’ financial histories can move with them across institutions, strengthening trust and accountability.
At FairMoney Microfinance Bank, we see this framework as a social contract. Knowing that deposits are protected by NDIC insurance and supported by clear dispute resolution mechanisms gives customers the confidence to participate actively in the economy.
The future of Nigerian banking is defined by structural harmony. Traditional banks provide depth and stability, while technology-enabled institutions provide reach, speed, and accessibility. Together, they turn financial access into economic resilience.
By working in alignment, we can ensure every Nigerian, from the Lagos professional to the rural trader, is equipped to contribute meaningfully to our shared one trillion dollar future.
Henry Obiekea is the Managing Director of FairMoney Microfinance Bank
By Adedapo Adesanya
The Nigeria Deposit Insurance Corporation (NDIC) has declared the second liquidation dividend payment of N24.3 billion for depositors of the defunct Heritage Bank Limited.
The payment will be made to customers whose account balances exceeded the statutory insured limit of N5 million at the time the bank was closed on June 3, 2024.
This was disclosed in a statement signed by the Head of Communication and Public Affairs Department, Mrs Hawwau Gambo, noting that the new payment, eligible for uninsured depositors, will receive 5.2 Kobo per N1 on their outstanding balances, bringing the cumulative liquidation dividend to 14.4 Kobo per N1 when combined with the first tranche paid earlier.
According to the corporation, it first paid insured deposits of up to N5 million per depositor from its Deposit Insurance Fund, ensuring that small depositors had prompt access to their funds despite the bank’s failure.
NDIC said that in April 2025, it declared and paid a first liquidation dividend of N46.6 billion, equivalent to 9.2 kobo per N1, to depositors with balances above the insured limit, setting the stage for further recoveries as assets were realised.
This latest payout follows the revocation of Heritage Bank’s operating license by the Central Bank of Nigeria (CBN) on June 3, 2024, after which the NDIC was appointed as liquidator in line with the Banks and Other Financial Institutions Act (BOFIA) 2020 and the NDIC Act 2023.
According to the NDIC, the second liquidation dividend of N24.3 billion was made possible through sustained recovery of debts owed to the defunct bank, disposal of physical assets, and realisation of investments.
The corporation said the payment was effected in line with Section 72 of the NDIC Act 2023, which governs the distribution of liquidation proceeds.
The NDIC noted that these recoveries reflect ongoing efforts to maximise value from Heritage Bank’s assets, assuring depositors that the liquidation process remains active and focused on full reimbursement where possible.
The corporation disclosed that payments will be credited automatically to eligible depositors’ alternative bank accounts already captured in NDIC records using their Bank Verification Numbers (BVN).
Depositors who have received their insured deposits and the first liquidation dividend have been advised to check their accounts for confirmation of the latest payment, while those yet to receive any payout are encouraged to regularise their status.
For depositors without alternative bank accounts or BVNs, or those who have not claimed their insured deposits or first liquidation dividend, the NDIC advised them to visit the nearest NDIC office nationwide or submit an e-claim via the Corporation’s website for prompt processing.
It added that further liquidation dividends will be paid as more assets are realised and outstanding debts recovered.
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