HERITAGE BANK LIQUIDATION: NDIC DECLARES ₦24.3BN SECOND DIVIDEND FOR DEPOSITORS ABOVE ₦5M INSURED LIMIT
The Nigeria Deposit Insurance Corporation (NDIC) has declared a second liquidation dividend of ₦24.3 billion for depositors of the defunct Heritage Bank Limited whose account balances exceeded the statutory insured limit of ₦5 million at the time of the bank’s closure.
Heritage Bank’s operating licence was revoked by the Central Bank of Nigeria (CBN) on June 3, 2024, after which the NDIC was appointed as liquidator in accordance with Section 12(2) of the Banks and Other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.
Following its appointment, the Corporation commenced the verification of claims and the payment of insured deposits of up to ₦5 million per depositor from its Deposit Insurance Fund. It also immediately began the disposal of the bank’s physical assets, recovery of outstanding debts, and the realisation of investments.
As a result of these recovery efforts, the NDIC declared a first liquidation dividend of ₦46.6 billion in April 2025, paid at the rate of 9.2 kobo per ₦1.00 on a pro-rata basis to depositors with balances above the insured limit.
In continuation of the reimbursement process, the Corporation has now declared a second liquidation dividend of ₦24.3 billion, derived from further debt recoveries, asset sales, and investment realisation. The dividend will be paid at a rate of 5.2 kobo per ₦1.00 on outstanding uninsured balances, in line with Section 72 of the NDIC Act 2023.
This latest payment brings the total liquidation dividend paid to date to 14.4 kobo per ₦1.00, offering increased relief to affected depositors.
The NDIC stated that payments will be effected using depositors’ details already captured in its records. Eligible depositors who have previously received their insured deposits and the first liquidation dividend will have their alternative bank accounts automatically credited through their Bank Verification Numbers (BVN).
However, depositors without alternative bank accounts or BVNs, as well as those who are yet to claim their insured deposits or the first liquidation dividend, have been advised to visit the nearest NDIC office or complete the e-claim form available on the Corporation’s website for prompt processing.
The Corporation clarified that a liquidation dividend refers to payments made to uninsured depositors of a closed bank from proceeds realised through asset sales, debt recovery, and investment liquidation. It stressed that only after all depositors have been fully reimbursed will payments be extended to other creditors and, subsequently, shareholders, subject to the availability of funds.
Reassuring the public, the NDIC noted that this payment represents only the second liquidation dividend, adding that additional dividends will be declared as more assets are realised and outstanding debts recovered.
The Corporation reaffirmed its commitment to the timely recovery of all outstanding obligations and the prompt reimbursement of depositors, in line with its mandate to protect depositors and maintain confidence in the Nigerian banking system.
