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Central Bank of Nigeria Withdraws Skye Bank License

Central Bank of Nigeria Withdraws Skye Bank License

Central Bank of Nigeria has withdrawn the license of Skye Bank Nigeria Plc after two years of providing life line to the bank.

The Central Bank of Nigeria Governor, Godwin Emefiele while briefing news men in Lagos said: “As a responsible and responsive regulator and in consultation with the Nigerian Deposit Insurance Corporation (NDIC), we have decided to establish a bridge bank ‘Polaris Bank,’ to assume the assets and liabilities of Skye Bank Nigeria Plc”.

He said: “The result of our examinations and forensic audit of Skye Bank Nigeria Plc have revealed that the Bank requires urgent recapitalisation as it can no longer continue to live on borrowed times with indefinite liquidity support from the Central Bank of Nigeria. The shareholders of the bank have been unable to recapitalize it.”

It will be recalled that on 4th July, 2016, the Central Bank of Nigeria took a regulatory action on Skye Bank Nigeria Plc which led to the resignation of the Chairman, all Non-Executive Directors on the Board as well as the Managing Director, Deputy Managing Director, and the two longest-serving Executive Directors on the management team.

Under the current action, the Asset Management Company of Nigeria (AMCON) will capitalize the bridge bank and begin the process of sourcing investors to buy out AMCON.

Emefiele said: “We wish to assure all depositors that under this arrangement, their deposits shall remain safe and that normal banking services shall continue in the new bank on Monday, 24th September, 2018, to enable customers to transact their businesses seamlessly.”

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