Polaris Bank Has Not Been Sold, Bank Management Debunks Sale of Bank to in-law of IBB

Polaris Bank Has Not Been Sold, Bank Management Debunks Sale of Bank to in-law of IBB

  • The management of Polaris Bank has denied report that the bank has been sold and asked that the general public shun the news
  • According to the bank, it is strong following the 2018 intervention by the Central Bank of Nigeria and AMCON
  • An online publication reported that the bank was sold to Auwal Lawan, the in-law of former head of state, Ibrahim Babangida

Polaris Bank has described as fake news the report of its purported sale to an in-law of Nigeria’s former head of state, Ibrahim Babangida.

The management of the bank stated in a statement on Friday, August 5, 2022, that the report was speculative and deliberately meant to cause panic to the depositors of the bank and other stakeholders, asking the public to disregard the report, according to a report by Vanguard.

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Polaris Bank, CBN
Polaris Bank has not been sold Credit: Ivan Pantic
Source: Getty Images

CBN, AMCON intervention stabilised bank

According to the statement, the intervention of the Central Bank of Nigeria in the erstwhile Skye Bank and the subsequent funding via the Asset Management Corporation of Nigeria (AMCON) through a bridge process that brought about Polaris Bank in 2018.

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The bank said it has since stayed strong and stabilised its operations following the intervention and improved its balance sheet, customer base and profitability.

The statement by the lender stated that while it intends to return the bank to private ownership, the move would happen after requisite approvals from all stakeholders.

The statement said:

“The Bank is committed to ensuring timely communication to the public in such an event.
“The Board and Management hereby reassure its customers, staff and the general public that Polaris Bank remains a stable, strong and credible financial institution, positioned to deliver sustainable value to all its stakeholders.”

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On August 2, 2022, there was panic among customers of the bank when a news website claimed in an exclusive report that the CBN clandestinely sold the bank to an in-law of IBB, Auwal Lawan Abdullah for about N40 billion.

CBN mute about purported sale

There was neither a rebuttal from the CBN nor Abdullah about the purported sale.

According to the report which has now been termed fake news by the bank, the CBN governor, Godwin Emefiele, has gotten presidential approval to kickstart the sale of the bank which will be disclosed to the public any time soon unless there is a back door objection to the contrary.

Nigerians' dollar funds are trapped in domiciliary accounts as bank managers tell customers to go home

Legit.ng has previously reported that Bank customers are now unable to withdraw dollars from their domiciliary accounts amid a worsened scarcity of the currency in the financial services sector Legit.ng investigation has revealed.

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in 10 commercial bank branches visited Ikeja, Ejigbo, Ago Palace, and Airport Road all confirmed the unavailability of dollars for withdrawal over the counter.

With the situation, many Nigerians who work for foreign companies full-time or as freelancers are left to take loans to survive.

Source: Legit.ng

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