United Bank for Africa (UBA) has been accused of unlawfully withholding the property documents of a Nigerian businessman more than two decades after he fully repaid a N100,000 overdraft facility, raising questions about the bank’s compliance with customer rights and collateral handling procedures.
The controversy involves David Oloyede, a businessman based in Ibadan, who secured an overdraft facility from UBA in 1990, using the deed to his landed property as collateral.
According to the Oloyede family, the loan was fully settled by December 21, 2001, yet UBA has allegedly refused to release the original title documents 25 years later.
David’s son, Bode Oloyede, stated that despite repeated requests, visits, and formal letters, the bank has ignored demands for the return of the property deed.
“My father paid back the loan completely, but UBA has refused to release the title document he deposited as collateral,” Bode said.
Documents, including a 2003 statement of account, show that deductions related to the overdraft ceased, suggesting the loan had been cleared.
A pre-action letter issued by David’s lawyers confirmed that the overdraft facility expired on August 16, 1999, and that all outstanding indebtedness was fully liquidated on December 21, 2001.
READ ALSO: EFCC slams Banks, Fintechs over due diligence lapses as N18.7bn fraud hits 900,000 Nigerians
The letter stated: “All outstanding indebtedness was fully liquidated… leaving a credit balance after deduction of interest and administrative charges.”
The Oloyede family said they visited several UBA branches in Ibadan and wrote multiple letters to the bank’s head office, but received no substantive response. Attempts to obtain clarification from UBA have reportedly been ignored.
The Foundation for Investigative Journalism (FIJ) confirmed that emails sent to UBA on January 12 and again on Friday received only automated replies, with no official response from the bank as of publication.
As of the time of this report, UBA has not publicly explained why it still holds the property documents decades after the loan was reportedly repaid.