The Nigeria Deposit Insurance Corporation (NDIC) has announced a second liquidation dividend of N24.3 billion for depositors of the defunct Heritage Bank Limited whose account balances exceeded the statutory insured limit of N5 million at the time the bank’s operating licence was revoked.
The disclosure was made in a statement signed by the Head of the NDIC’s Communication and Public Affairs Department, Hawwau Gambo.
Heritage Bank’s licence was withdrawn by the Central Bank of Nigeria (CBN) on June 3, 2024, following persistent financial weaknesses, after which the NDIC was appointed as liquidator in accordance with the Banks and Other Financial Institutions Act (BOFIA) 2020 and the NDIC Act 2023.
According to the Corporation, the latest payout means that eligible uninsured depositors will now receive 5.2 kobo for every N1 of their outstanding balances. When combined with the first liquidation dividend paid earlier, total recoveries have risen to 14.4 kobo per N1.
The NDIC explained that immediately after the bank’s closure, it prioritised the payment of insured deposits of up to N5 million per depositor from its Deposit Insurance Fund, ensuring that small depositors had prompt access to their funds despite the bank’s failure.
In April 2025, the Corporation declared and paid a first liquidation dividend of N46.6 billion, equivalent to 9.2 kobo per N1, to depositors with balances above the insured limit. This, the NDIC said, laid the groundwork for subsequent payouts as the bank’s assets continued to be realised.
The second liquidation dividend of N24.3 billion, the NDIC noted, was made possible through sustained recovery of debts owed to the defunct bank, the disposal of physical assets and the realisation of its investments.
The payment was effected in line with Section 72 of the NDIC Act 2023, which provides the legal framework for the distribution of liquidation proceeds.
The Corporation stressed that the recoveries reflect ongoing efforts to maximise value from Heritage Bank’s assets, assuring depositors that the liquidation process remains active and focused on achieving the highest possible reimbursement.
According to the NDIC, payments will be credited automatically into eligible depositors’ alternative bank accounts already captured in its records using their Bank Verification Numbers (BVN).
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Depositors who have already received their insured deposits and the first liquidation dividend have been advised to check their accounts to confirm receipt of the latest payment.
Those yet to receive any payout were urged to regularise their status. The NDIC advised depositors without alternative bank accounts or BVNs, as well as those who have not claimed their insured deposits or first liquidation dividend, to visit the nearest NDIC office nationwide or submit an e-claim through the Corporation’s website for prompt processing.
The NDIC reiterated that beyond the initial insured deposit payouts, it has continued with asset realisation, debt recovery and the disposal of investments and physical assets belonging to the defunct bank.
These efforts, it said, are aimed at generating funds to reimburse depositors with balances above the insured limit in line with the priority of claims under the NDIC Act 2023.
The Corporation assured depositors that additional liquidation dividends will be declared and paid as more assets are realised and outstanding debts recovered, reaffirming its commitment to protecting depositors and maintaining confidence in the Nigerian banking system.