In its bid to re-position the country’s mortgage sub-sector and promote a culture of compliance with relevant laws and regulations, the Central Bank of Nigeria, on Tuesday announced revocation of the operational licenses of Aso Savings and Loans Plc and Union Homes Savings and Loans Plc.
The revocation, the CBN said in a statement by Hakama Sidi Ali (Mrs.), Acting Director, Corporate Communications Department, is in exercise of its powers enshrined in Section 12 of BOFIA 2020, and Section 7.3 of the Revised Guidelines for Mortgage Banks in Nigeria.
While restating commitment to its core mandate of ensuring financial system stability, the CBN specifically accused both banks of violating various Sections of the laws, including “failure to meet the minimum paid-up share capital requirement for the category of the bank licence granted to them by the CBN; having insufficient assets to meet their liabilities; being critically under-capitalised with a capital adequacy ratio below the prudential minimum ratio as prescribed by the CBN; and failure to comply with several directives and obligations imposed upon them by the CBN.”
In its own separate statement also on Tuesday, and following the CBN’s regulatory actions, and its subsequent appointment as the liquidator of the defunct banks, on December 15, 2025, the Nigeria Deposit Insurance Corporation (NDIC) assured depositors of both banks’ and the general public of speedy foreclosure of the various processes.
Already, the corporation said it has started the liquidation process for the twin institutions wit the verification and payment of insured deposits to depositors of the closed banks in line with Section 55, subsections 1 & 2 of its enabling Act 2023.
Consequently, the NDIC said “depositors will be paid their insured deposits up to the maximum amount of ₦2,000,000 per depositor, using the Bank Verification Number (BVN) as a unique identifier to locate their alternate bank accounts, into which the insured sums will be automatically credited.”
Those with balances in excess of that threshold “will be paid the initial insured amount, while their outstanding balances will be settled as liquidation dividends upon the realisation of the assets and recovery of debts owed to (of) the failed banks.”
The corporation assured of commencement of the “sale of the banks’ assets and continue recovery of outstanding loans in order to expedite payment of uninsured sums.”
Verification and processing of depositors’ claims may be carried out online or physically, the corporation added, urging depositors to submit their claims online by visiting the NDIC claims portal to complete the digital claims form with all required information, and thereafter click the “Submit” button.
Depositors who prefer physical verification are to visit the nearest branch of the closed banks between Tuesday, December 16, 2025 and Thursday, December 30, 2025, where NDIC officials will attend to them.
To ensure a smooth exercise and subsequent payment of insured sums, depositors were enjoined to present proof of account ownership;verifiable means of identification (Driver’s License, Permanent Voter’s Card, or National Identity Card); and details of their alternate bank account and Bank Verification Number (BVN).
They must also ensure that transaction alerts are activated for their alternate bank accounts in order to receive notifications of payments. Where alerts are not active, depositors may check their account balances using their banks USSD codes or by visiting their bank branches.
On their parts, creditors of the closed banks are to submit their claims online or by visiting the nearest branch of the banks between Tuesday, December 16, 2025 and Thursday, December 30, 2025, while payment of liquidation dividends to creditors will commence after all depositors have been fully paid.
After the full payment to all depositors, payment of deposit of staff of the defunct banks, NDIC noted, will be made from the proceeds of the sale of the banks’ assets, as liquidation dividends, just as shareholders shall subsequently be paid from further realisation of the banks’ assets and the recovery of outstanding debts, as liquidation dividends.
Debtors of the defunct banks were advised to visit the Corporation’s Asset Management Department to ensure the settlement of their indebtedness in full.
