Access Bank risks customers’ apathy over fraud allegation

Nigeria’s largest bank by customers’ base, Access Bank Plc risked losing some of its customers following widespread reports that its Group Managing Director, Herbert Wigwe has been allegedly arrested by the Economic and Financial Crimes Commission over a fraud allegation.

Rumour had it that the business executive was arrested by the Economic and Financial Crimes Commission (EFCC), in connection to the recent court judgement against former Abia State governor, Orji Uzor Kalu, and his company, Slok Nigeria Limited.

National Daily gathered Slok Nigeria Limited, owned by the jailed politician received an undisclosed amount of loan from Diamond Bank Plc long before the defunct bank was acquired by Access Bank in 2019.

Slok Nigeria had used its assets as collateral. Following Diamond Bank’s acquisition, Access Bank automatically inherited the Slok Nigeria loans.

Recall that in 2019 the former governor was found guilty on several counts of fraud and sentenced to prison. The judge also ruled that his company – Slok Nigeria Limited – be liquidated and its proceeds handed over to the Federal Government of Nigeria.

Meanwhile a statement by the bank has dispel any rumours about its chief executive officer being arrested.

“We wish to state that the issue essentially relates to the credit facilities that were availed to the Slok Nigeria Ltd (“Slok”) by the defunct Diamond Plc (“Diamond”) and which were secured by Slok’s assets charged to Diamond. Access Bank had inherited the Slok credit following the merger of Diamond and Access Bank.

“Given the differing interests of the commission and the Bank on the assets of Slok deriving from the Court’s recent judgment on Slok, the commission had invited for interrogation officials of Access Bank’s recovery efforts on Slok credit including its Group Managing Director.”

Access Bank further says that following engagement between them and the EFCC, issues relating to Slok investigation have been resolved. It assures its stakeholders of complying with extant laws in conducting its business.

Note that this second aspect of the ruling elicited controversy, as many Nigerians wondered why Slok Nigeria Limited was not handed over to the Abia State Government instead. After all, the former governor allegedly stole money from the people of Abia, not from the Federal Government.