The Nigeria Deposit Insurance Corporation (NDIC) has commended the judiciary on its better understanding of the deposit insurance practice towards promoting stability of the nation’s financial system.
NDIC Managing Director/Chief Executive, Bello Hassan, gave the commendation in his welcome address at the 2023 Sensitization Seminar, organized by the Corporation in partnership with the National Judicial Institute (NJI) for Judges of the Federal High Courts.
The seminar, which was held in Uyo, Akwa-Ibom State, was themed: “Strengthening Depositors Confidence in Banks and Other Financial Institutions through Speedy Dispensation of Justice,” according to a statement yesterday by the NDIC Director, Communication & Public Affairs, Bashir Nuhu,
Mr. Hassan was quoted as saying that the overarching objective of the Deposit Insurance Scheme in Nigeria, is to protect depositors in the event of failure of the insured institutions, thereby engendering confidence and curtailing the incidence of bank runs in the system.
He however noted that in carrying out its mandate efficiently, the Corporation requires an effective collaboration with the judiciary, in view of its critical role in resolving disputes that often arise from revocation of banking licenses, liquidation of failed banks and termination of liquidation activities.
He noted that since inception, the Corporation has been confronted with many challenges such as misconception about its mandate and the basic principles of Deposit Insurance.
He therefore expressed gratitude that the seminar, organized in collaboration with the NJI, has resulted in a better understanding of the Corporation’s distinct roles by members of the Bar and the Bench as well as speedy dispensation of cases involving banks in-liquidation for the sake of financial system stability in Nigeria.
To deepen knowledge of the Deposit Insurance practice and law, Hassan disclosed that papers presented at previous editions of the annual events have been published by the Corporation under the title: “Law and Practice of Deposit Insurance in Nigeria,” in two volumes.
These will serve as a veritable reference material, as the publications are being distributed free of charge to stakeholders.
…in carrying out its mandate efficiently, the Corporation requires an effective collaboration with the judiciary, in view of its critical role in resolving disputes that often arise from revocation of banking licenses, liquidation of failed banks and termination of liquidation activities.