The Nigeria Deposit Insurance Corporation (NDIC) has commenced payment of N46.6 billion as first tranche of liquidation dividends to depositors of Heritage Bank Limited (in liquidation) with funds above the insured limit of five million Naira.
A liquidation dividend represents amount paid by the Corporation to depositors of a closed bank, in excess of the maximum insured limit, from the proceeds of sales of assets and recovery from the debtors of the failed bank. It also includes amounts paid to creditors and shareholders after all depositors have been fully paid.
In its continued commitment to ensuring that depositors of the defunct Heritage Bank are fully reimbursed, the Nigeria Deposit Insurance Corporation (NDIC) has declared first tranche of liquidation dividends totaling N46.6 billion from the proceeds of sales of the defunct bank’s assets and recovery of debts owed to the defunct institution.
In a statement issued in Abuja and signed by the Acting Head, Communication and Public Affairs, Hawau Gambo, the Corporation said the payment of the first tranche of the liquidation dividends commenced on Friday, April 25, 2025. It added that “this initial dividend payment was at the rate of 9.2 kobo per Naira on a pro-rata basis to the depositors whose account balances exceeded the NDIC’s maximum insured limit as at the time of the bank’s closure”.
It will be recalled that following the revocation of the Heritage Bank’s operating licence by the Central Bank of Nigeria (CBN) on June 3, 2024, the NDIC promptly began reimbursing insured deposits of up to five million Naira per depositor. To ensure seamless and efficient payment process, the NDIC used the depositors’ Bank Verification Number (BVN) to locate alternate account number of depositors in other banks and automatically credited them with the insured amount. Furthermore, the Corporation leveraged the existing records used in the payment of the insured amount to facilitate the disbursement of first tranche of liquidation dividends.
The Corporation advised any depositor with amount in excess of N5.0 million who was paid insured amount but did not receive the liquidation dividends to approach its nearest NDIC office or contact it via telephone. It also advised depositors of the defunct banks who do not maintain alternative bank account and were not paid the insured amount to visit the nearest NDIC office or go to the claims page on the Corporation’s website www.ndic.gov.ng to download, complete and submit deposit verification form for the payment of the insured amount and where applicable, the first tranche of their liquidation dividends.
The Corporation said that this payment represents only the first tranche of liquidation dividends, indicating that further payments will follow as more assets of the defunct Heritage Bank are realised and outstanding debts are recovered.