External solicitors of the Nigeria Deposit Insurance Corporation, NDIC, have been urged to be more effective in recovering assets of closed banks.
The corporation’s Managing Director, Dr. Bello Hassan, gave the advice at a sensitization seminar for the external solicitors, in Abuja, on Thursday.
Hassan noted that the liquidation of closed banks was complex and required the services of the lawyers to recover the assets of the affected banks in order to pay uninsured deposits, genuine claims of contractors as well as liquidation dividend to investors.
Represented at the occaÂsion by the Deputy Director in the Legal Department of the Corporation, Hajia Ramotu AbduÂlahi, Hassan highÂlighted the intricate nature of bank liquidation, which is deeply intertwined with litÂigation, requiring extensive legal expertise to recover debts and resolve creditor claims effectively.
The NDIC Managing Director observed that of the four core manÂdates enshrined in the NiÂgeria Deposit Insurance Act 2023, comprising deposit guarantee, bank supervision, resoluÂtion of failing financial inÂstitutions, and the orderly liquidation of banks whose licences have been revoked by the Central Bank of NiÂgeria – the latter is a critical function in which the corpoÂration requires the support of legal practitioners to efficiently discharge the mandate.
