By Babajide Komolafe
The Nigeria Deposit Insurance Corporation (NDIC) and the Economic and Financial Crimes Commission (EFCC) have agreed to strengthen collaboration to enhance the investigation and prosecution of offences that lead to bank failures, while also improving the recovery of assets and debts of failed banks.
This formed the focus of a courtesy visit by the management of the NDIC, led by its Managing Director/Chief Executive, Mr. Thompson Oludare Sunday, to the Chairman of the EFCC, Mr. Olanipekun Olukoyede, in Abuja.
Members of the NDIC delegation included the Executive Director, Corporate Services, Mrs. Emily Osuji; the Executive Director, Operations, Dr. Kabir Katata; and other senior directors.
Mr. Sunday said effective collaboration with the EFCC is critical to the successful liquidation of failed banks, particularly in asset realisation and debt recovery, the proceeds of which are used to settle uninsured depositors. He noted that challenges such as asset stripping and concealment often undermine liquidation efforts, stressing the need for closer partnership with the EFCC in asset tracing, recovery and enforcement.
He added that cooperation would also cover efforts to combat banking fraud and other financial crimes, as well as the prosecution of individuals whose actions contribute to bank failures. According to him, the NDIC, through its mandates of deposit guarantee, bank supervision, distress resolution and bank liquidation, plays a key role in safeguarding financial system stability and protecting depositors’ funds.
In his response, EFCC Chairman, Mr. Olukoyede, reaffirmed the Commission’s strong working relationship with the NDIC in tackling financial crimes in the banking sector. He acknowledged the longstanding cooperation between both institutions, particularly in investigations and capacity building.
Mr. Olukoyede explained that the EFCC has dedicated units, including the Bank Fraud Section, that handle NDIC-related cases, and urged the Corporation to forward any pending cases for prompt review to ensure effective monitoring.
He also highlighted the role of the EFCC’s Fraud Risk Assessment and Control Department in promoting compliance, sound risk management and internal controls across institutions, pledging continued collaboration with the NDIC to safeguard the stability and integrity of Nigeria’s banking system.
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The Nigeria Deposit Insurance Corporation (NDIC) and the Economic and Financial Crimes Commission (EFCC) have agreed to strengthen their collaboration to improve the investigation and prosecution of offences leading to bank failures and enhance the recovery of assets and debts of failed banks. This was discussed during a visit by NDIC’s management, led by Managing Director/Chief Executive, Mr. Thompson Oludare Sunday, to the EFCC Chairman, Mr. Olanipekun Olukoyede, in Abuja. Effective partnership with the EFCC is crucial for successful liquidation of failed banks, asset realization, debt recovery, combating banking fraud, and prosecuting individuals contributing to bank failures, as stated by Mr. Sunday.
In response, EFCC Chairman, Mr. Olukoyede, affirmed the Commission’s commitment to working closely with NDIC in addressing financial crimes in the banking sector. He recognized the extended cooperation between both institutions in investigations and capacity building, highlighting the EFCC’s dedicated units handling NDIC-related cases. Mr. Olukoyede also emphasized the role of EFCC’s Fraud Risk Assessment and Control Department in ensuring compliance, sound risk management, and internal controls in institutions, pledging continued collaboration with NDIC to safeguard Nigeria’s banking system stability and integrity.
Original Source: Vanguard News