CBN’s Name and Shame Directive Gains Momentum

Central Bank of Nigeria (CBN)-initiated name and shame campaign of banks’ delinquent debtors gained further momentum yesterday as First City Monument Bank Limited and Ecobank Nigeria published their lists, according to the Punch. MRS Oil & Gas, a major player in the downstream sector of the oil and gas industry, topped FCMB’s list of delinquent debtors with N6.2 billion non-performing loan. Punch also reported that the lists have the names of popular companies, whose directors prominent Nigerians are appearing among the high non-performing loan defaulters. The list has 86 names with a combined bad debt of N17.11 billion. White Diamond Property Development Limited, a firm owned by a business mogul, Rabiu Isiyaku Rabiu, is the second on the list with a debt of N616 million. Two companies belonging to an ex-Minister of Sports, Saidu Samaila Sambawa, occupied the fourth and sixth numbers on the FCMB list. The firms, Sigma Engineering & Construction Limited and Sambawa Farms have a combined delinquent facility of N1.04 billion. Niger Global Engineering & Technology Company Limited, a firm belonging to Senator Hope Uzodinma, a former Chairman of the Senate Committee on Aviation, was number eight on the FCMB debtors’ list, with N338.85 million. The name of the same company appears on the Ecobank Nigeria’s delinquent debtors’ list, with a bad loan of N94.3 million recorded against it. Global Energy Resources, which according to FCMB, belongs to Mr. Olatunde Ayeni, who is the Chairman of Skye Bank Plc, owes N175 million. Suzzatej Nigeria Limited, whose directors are listed as Prince Olanrewaju Adeyemi Tejuosho, Princess Mojisola Tejuosho, children of the Osile Oke Ona, Egba, Oba Adedapo Tejuosho, and two others, is said to owe the bank N84 million. In total, the 86 names on the list owe FCMB a combined sum of N17.1 billion. Ecobank Nigeria, which has 73 names on its list, is being owed a total sum of N5.4 billion by the delinquent debtors. This means that the debtors are owing FCMB and Ecobank a total sum of N22.5 billion. Plasto Crown Nigeria Limited, a firm belonging to a former Minister of Environment and Housing, Lady Helen Esuene, and other people, is said to owe Ecobank N11.1 million. Banks, which are expected to publish the lists of their delinquent debtors later this week or before the end of the month are Standard Chartered Bank, Keystone Bank, Citibank, Wema Bank Plc and United Bank for Africa Plc. The banks, which have published the lists of their delinquent debtors on Monday are Zenith Bank Plc, Guaranty Trust Bank Plc, Union Bank Plc, Sterling Bank Plc, Skye Bank Plc, Fidelity Bank Plc, Stanbic IBTC Bank, Heritage Bank Limited, Enterprise Bank Limited, First Bank of Nigeria Limited, Access Bank Plc, Diamond Bank Plc and Unity Bank Plc. The Central Bank of Nigeria had on April 22, 2015 directed the banks, discount houses and the Asset Management Corporation of Nigeria to publish the list of their delinquent debtors from August 1. They are to publish the names in at least three national newspapers on a quarterly basis. In line with the directive, the banks gave the chronic debtors a three-month grace period, which expired on July 31.  

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This article was first published on 6th August 2015

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