The Digest:
The Central Bank of Nigeria has stated that it will review the Federal High Court judgment that nullified its January 2024 dissolution of Union Bank's board and management, while assuring the public that the bank remains stable and fully operational. In a statement, the CBN said it is obtaining the Certified True Copy of the judgment and will carefully review it before deciding its next course of action, reaffirming its commitment to the rule of law. The apex bank emphasized that Union Bank's status is unchanged, and it remains capable of meeting its obligations to customers and stakeholders.
Key Points:
- The CBN acknowledged the court ruling but stopped short of indicating whether it would appeal or comply with the judgment.
- The bank assured customers and depositors that Union Bank remains fully operational and stable despite the legal development.
- The court had nullified the CBN's dissolution of Union Bank's board, ruling that the apex bank acted beyond its powers.
- The CBN reiterated its regulatory role in maintaining financial system stability and providing oversight.
- The judgment affects three banks—Union, Keystone, and Polaris—whose boards were dissolved in January 2024 over alleged regulatory infractions.
Sources: The Punch
