CBN Dissolves Board Of Union Bank, Polaris, Keystone

The Central Bank of Nigeria (CBN) has reportedly dissolved the board and management of four Nigerian banks with immediate effect.

Naija News reports that the affected banks include Union Bank, Polaris Bank, and Keystone Bank.

The action follows the recommendation of Jim Obazee, the Special Investigator appointed by President Bola Tinubu in July 2023 to probe the activities of the CBN and other relevant establishments.

According to Inside Business, the decision to dissolve the boards was taken after a meeting between the CBN Governor, Yemi Cardoso, Obazee, and the board and management of the four banks.

Recall that Obazee, in his report, had revealed that the acquisition of Union Bank by Titan Bank lacked transparency and recommended that the Federal government forfeit the two financial institutions.

Obazee said his team uncovered how Emefiele set up Titan Trust Bank (TTB) to acquire Union Bank of Nigeria and how he used two Dubai-based companies — Luxis International DMCC (Luxis) and Magna International DMCC (MAGNA) — owned by Vink Corporation Middle East FZC, to set up Titan Trust Bank as proxies.

With the help of the Nigerian embassy in UAE, the panel report said the two companies do not have a physical presence in Dubai as claimed in their acquisition documents.

The dissolution is coming after the investors in Titan Trust Bank refused to honour the invitation to a meeting with the Special Investigator.

All four banks are involved in the special investigations on how the CBN was run under Godwin Emefiele, the former governor who was ousted soon after President Tinubu took office last May.

Union Bank of Nigeria Plc and Titan Trust Bank (TTB) are facing an uncertain future following the special investigation report on the activities of the apex bank under Godwin Emefiele.