The Nigeria Deposit Insurance Corporation (NDIC) says there is zero tolerance for diverting funds realised from the sale or recovery of failed banks’ assets.
Oluyinka Ogungbemi, NDIC’s director of asset management, said this at the Stakeholders Seminar and Public Relations Workshop organised by the Asset Management Department in Abuja on Monday.
Mr Ogungbemi said staff of the corporation do not have access to asset funds, adding that asset realisation was the hardest part of banks’ liquidation and that loan recovery was the most difficult part of asset recovery.
“A loan that is not paid when the bank was in existence will not be easy when the bank is closed. We are expected to recover assets timely as delay erodes value because a loan not pursued becomes difficult to recover,” he said.
He said the workshop was aimed at ensuring higher loan and asset recovery, thereby strengthening public confidence.
Mr Ogungbemi urged stakeholders to uphold professional conduct in discharging their duties, stressing that the corporation has zero tolerance for funds diversion in banks’ asset recovery.
”This seminar is not a routine gathering; it is a deliberate one. It is part of the strategic initiative of the asset management department to improve asset realisation, and the first thing we aim to do is strengthen our relationship with you (stakeholders),” he said.
(NAN)