There has been fear and panic among the shareholders, board, and management of Heritage Bank, as the House of Representatives pressurizes the Central Bank of Nigeria (CBN) for the takeover of the financial institution.

The threat was issued by the lower house of Nigeria’s legislative  National Assembly in response to Heritage Bank’s failure to pay the federal government what it owed.

Heritage Bank owes the federal government about $32 million, which is more than its a whole share capital, according to the House of Representatives’ ad hoc committee on the assessment and status of all recovered loots (movable and immovable assets) by federal government agencies from 2002 to 2020 for appropriate efficient management and utilization.

At an inquiry hearing in Abuja, the committee’s Chairman, Adejoro Adeogun, reiterated the threat, claiming that the financial institution could not owe more than its share capital.

He said: “If Heritage Bank is owing Nigeria more than its share capital, we will not hesitate to ask the National Assembly to write to CBN to take over Heritage Bank.

“They cannot be owing more than their share capital, sit on it and feel too big to respond to invitations from the National Assembly. Clark, you have to write them, give them till Wednesday next week. That is the last time we are going to give them.”

Although the Heritage Bank takeover is unlikely to result in job losses or the loss of customer savings.
After completing all of the CBN’s standards, IEI Investments Ltd purchased Societe Generale Bank of Nigeria (SGBN). After failure to reach the apex bank’s revised capital criteria of N25 billion ($155 million) for a national bank, the bank was acquired.