Bank Collapse: Sorting Out Victims Of  Rivers Owned Pan African Bank

By Uke N. Uke

Are you a creditor, depositor or shareholder of the defunct Pan African Bank, a bank in which the Rivers State Government had considerable financial interests?

This piece of news may interest you.

Depositors, creditors and stakeholders who lost huge sums of money when the bank went under years ago now have the opportunity to reclaim some of their money.

Thanks to the Nigeria Deposit Insurance Corporation, NDIC, which has diclosed that it is about to receive an additional N16. 18 billion liquidation dividends.

Part of those funds accruing from the liquidation of assets of 20 failed banks across the country would be used to settle Rivers businessmen and others in their midst who invested hard earned funds in the Pan African Bank.

Although there was panic in the financial sector when the NDIC issued a statement relating to 20 failed banks, the body has released further information which reveals that no bank that is currently in operation in Nigeria has been closed to the public.

Rather, the affected banks belong to a generation of banks previously shut down in view of the revocation of their operating licenses by the Central Bank of Nigeria between 1994 and 2018.

Bashir Nuhu, Director of Communications and Public Affairs at NDIC, dismissed the rumor that some operating banks have been shut.

In statement released in Abuja on November 13, 2023, Nuhu urged the public to disregard the rumour.

Under the administration of Governor Siminalayi Fubara, Rivers people who suffered huge financial losses due to the collapse of the State owned bank appear hopeful that they will recoup part of their money.

It is not clear if the Government of Rivers State which promoted the Bank will be part of the beneficiaries, given the extent of its investment in the failed financial institution.

The Pan African Bank was established as part an economic reconstruction plan set in motion by the military led government of Commander Alfred Diete-Spiff who currently occupies a highly revered traditional stool in present day Bayelsa State.

On the whole a total sum of N61.63 billion has so far been received by the NDIC as liquidation dividends.

Experts say the amount exceeds the level of insured sums for depositors of these banks.