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The Nigeria Deposit Insurance Corporation (NDIC) has begun the disbursement of N46.6 billion as the initial tranche of liquidation dividends to depositors of the defunct Heritage Bank, whose accounts surpassed the maximum insured limit of N5 million.
The corporation made this announcement in a statement released on Sunday by its acting Head of Communication and Public Affairs, Hawwau Gambo.
The Central Bank of Nigeria revoked Heritage Bank’s operating license on June 3, 2024, citing violations of regulatory standards. Following the license revocation, the NDIC began to pay out insured deposits, quickly reimbursing depositors up to the insured cap of N5 million.
As per NDIC’s statement, the distribution of the initial tranche of liquidation dividends commenced on Friday, April 25, 2025, and is intended to ensure that all eligible depositors of the closed bank receive sufficient reimbursement.
“In its continued commitment to ensuring that depositors of the defunct Heritage Bank are fully reimbursed, the Nigeria Deposit Insurance Corporation has declared the first tranche of liquidation dividends totaling N46.6bn from the proceeds of sales of the defunct bank’s assets and recovery of debts owed to the defunct institution,” the statement read.
The NDIC clarified that the liquidation dividend refers to the funds disbursed to depositors from the income generated by selling the bank’s assets and recovering unpaid debts, surpassing the maximum insured limit.
It also noted that this could encompass funds ultimately distributed to creditors and shareholders after all depositors have been fully compensated.
In detailing the payment method, the Corporation stated that the initial dividend was disbursed “at the rate of 9.2 kobo per Naira on a pro-rata basis to the depositors with account balances exceeding the NDIC’s maximum insured limit of N5.0 million at the time the bank was closed.”
The NDIC emphasised that it utilised the verified records from the insured deposit payment phase to facilitate the distribution of the liquidation dividends.
Nevertheless, it encouraged depositors with balances above N5 million who have not yet received the first tranche of liquidation dividends to reach out to the Corporation.
