Crime

NDIC Urges EFCC to Return Recovered Funds from Bank Frauds, Citing Legal Implications

The Nigeria Deposit Insurance Corporation (NDIC) has formally requested the Economic and Financial Crimes Commission (EFCC) to return funds recovered from banks’ fraudsters to the corporation. The NDIC emphasizes the importance of this action to facilitate the timely reimbursement of depositors who lost their money due to bank failures.

Published

1 month ago

March 24, 2024

Stella Charles Akupue

NDIC Urges EFCC to Return Recovered Funds from Bank Frauds, Citing Legal Implications

The Nigeria Deposit Insurance Corporation (NDIC) has called upon the Economic and Financial Crimes Commission (EFCC) to return funds recovered from bank fraudsters to its coffers, emphasizing the legal implications of such actions. This request was made by NDIC’s Managing Director, Bello Hassan, during his visit to the EFCC headquarters in Abuja, as stated in a release by NDIC spokesperson Bashir Nuhu on Saturday.

Hassan assured the EFCC of the NDIC’s commitment to ensuring that those responsible for bank failures face proper investigation and prosecution. He underscored the importance of adherence to legal procedures in recovering and utilizing recovered funds. He emphasized the need for collaboration in recovering depositors’ funds to facilitate the payment of liquidation dividends to affected depositors following relevant laws and regulations.

Highlighting NDIC’s role in combating financial crimes within the banking sector, Hassan reiterated the corporation’s mandate of bank supervision and liquidating licensed banks, emphasizing the legal framework guiding its operations. He stressed NDIC’s objective to protect depositors’ funds and maintain the stability of the financial system, underscoring the legal responsibilities entrusted to the corporation.

Hassan also praised the EFCC for its efforts in fighting corruption and financial crimes, noting the existing partnership between the two organizations. He emphasized the need to strengthen this partnership, citing ongoing investigations into 10 high-profile cases referred to the EFCC by NDIC, with strict adherence to legal protocols.

In response, EFCC Chairman Ola Olukoyede acknowledged the legal complexities surrounding the recovery and utilization of recovered funds. He highlighted the importance of collaboration between NDIC and EFCC in ensuring compliance with legal requirements. He pledged EFCC’s commitment to deepening cooperation with NDIC to combat financial crimes within the bounds of the law and uphold the integrity of Nigeria’s banking sector.

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