NDIC to Begin Sale of Heritage Bank Assets on December 4.

According to a statement from Bashir Nuhu, NDIC’s director of communication and public affairs, the sale of Heritage Bank’s assets will start on December 4, 2024.

The sale will include landed properties owned by the now-defunct bank. Nuhu clarified that this liquidation effort is a part of NDIC’s statutory role as the official liquidator of failed banks, carried out under Section 62 (1)(d) of the NDIC Act, 2023.

Submissions will be accepted at certain NDIC offices in Abuja, Lagos, Bauchi, Kano, Enugu, and Port Harcourt.

The asset sale will be conducted through a competitive bidding process at 36 Heritage Bank branches across the country.

With the goal of raising enough money to pay liquidation dividends to uninsured depositors, NDIC underlined the significance of openness, equitable competition, and accountability during the auction.

In keeping with NDIC’s mission to preserve financial services in impacted areas and promote financial inclusion, financial institutions interested in buying complete homes and tangible assets will also be given preference.

According to Nuhu, the bidding procedure is open to both private citizens and corporate enterprises. Before the auction, prospective purchasers will have the opportunity to view the available properties and chattels in every location.

This comes after the Central Bank of Nigeria (CBN) decided on June 3 to cancel Heritage Bank’s licence, citing the bank’s subpar financial performance as a reason for financial instability risks.

NDIC Managing Director Bello Hassan promised to reimburse insured depositors within a week after the NDIC started the verification and payment procedures for depositors.

Heritage Bank had 2.3 million depositors, 99% of whom had balances under N5 million, a loan portfolio of over N700 billion, and total deposits of N650 billion at the time of licence revocation.

48 homes and a variety of chattels, such as cars, office supplies, and machinery, spread across 62 locations throughout Nigeria, will be included in the sales.