NDIC to pay N24.3 billion more to Heritage Bank’s depositors

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

The Corporation stated that the N24.3 billion payment represents only the second liquidation dividend emphasizing that additional payments will follow as more assets are realized and outstanding debts are recovered.

The Nation reports that in April 2025, NDIC disbursed N46.6 billion as the first tranche of liquidation dividends to depositors of the defunct Heritage Bank with funds exceeding the insured limit of N5 million.

The declaration follows the revocation of Heritage Bank’s operating licence by the Central Bank of Nigeria (CBN) on June 3, 2024, after which the NDIC was appointed liquidator in line with Section 12(2) of the Banks and Other Financial Institutions Act (BOFIA) 2020 and Sections 55(1 and 2) of the NDIC Act 2023.

In a statement by the Head of the NDIC’s Communication and Public Affairs Department, Hawwau Gambo, the Corporation said it had since commenced the disposal of physical assets, recovery of debts and realisation of investments belonging to the defunct bank.

 “As a result of these efforts, the NDIC declared a first liquidation dividend of N46.6 billion in April 2025, at a rate of 9.2 kobo per N1.00,” the corporation stressed, adding that the amount was paid on a pro-rata basis to depositors whose balances were above the ₦5 million insured limit at the date of closure.

Gambo explained that the newly declared second liquidation dividend of ₦24.3 billion was generated from debt recovery, sale of physical assets and realisation of investments.

The payment will be applied to outstanding uninsured balances at a rate of 5.2 kobo per ₦1.00, in accordance with Section 72 of the NDIC Act 2023.

“This brings the cumulative liquidation dividend declared to date to 14.4 kobo per ₦1.00,” the statement noted.

According to the NDIC, payments will be made using depositors’ existing details already captured in its records. Eligible depositors who have previously received their insured deposits and the first tranche of liquidation dividends will have their alternative bank accounts automatically credited using their Bank Verification Numbers (BVN).

Depositors were advised to check their accounts for confirmation, while those without alternative bank accounts, BVNs, or who are yet to claim their insured sum of up to ₦5 million or the first liquidation dividend, were urged to visit the nearest NDIC office or complete the e-claim form on the Corporation’s website for prompt processing.

The NDIC clarified that a liquidation dividend refers to payments made to depositors of a closed bank whose balances exceed the insured limit, using proceeds from asset sales, debt recovery and investment realisation.

It added that only after all depositors have been fully reimbursed would payments be made to other creditors and, subsequently, shareholders, subject to the availability of funds.

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