The Central Bank of Nigeria (CBN) has sacked the boards of Union Bank, Polaris Bank, Keystone Bank, and Titan Trust Bank with immediate effect.
The boards of directors and chief executives of the respective banks were invited to a meeting that started at about 1 p.m. on Wednesday, where they were addressed for 30 minutes each by the apex bank’s Deputy Governor of 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.
It is not clear what will happen next for the banks, but it is expected that new management and directors will be appointed.
CBN sources say the decision was taken in a meeting led by the apex bank’s governor, Yemi Cardoso, on Wednesday in Abuja.
The source, who spoke on condition of anonymity, hinted that an official statement dissolving the board of directors will be released shortly.
The source said, “In the next hour, there is going to be official communication from the bank. We are working on it, and an official statement will be sent soon.”
The action follows the recommendation of the Special Investigator, Jim Obazee, appointed by President Bola Tinubu in July 2023, to probe the activities of the CBN and other relevant establishments.
The report of the special investigation into the activities of the CBN accused the immediate past governor of the apex bank, Godwin Emefiele, of acquiring banks for himself through proxies.
The report stated that Emefiele used proxies to acquire Union Bank of Nigeria for Titan Trust Bank Limited and Keystone Bank without any evidence of payment.
As a result, it was recommended that the Federal Government reverse the sale of the banks and take them over.
