CBN, Polaris Bank refute liquidation rumors

The Central Bank of Nigeria (CBN) and Polaris Bank have refuted claim that Polaris Bank is undergoing a liquidation process after failing to meet CBN’s recapitalisation requirements.

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The regulator and Polaris Bank debunked the claim in an X post, classifying the liquidation process as “fake”.

This came after an X user, @Femzydr1, posted on Tuesday that Polaris Bank failed to comply with CBN’s recapitalisation requirements, and will be put under Nigeria Deposit Insurance Corporation (NDIC) for liquidation, with possible revoking of the bank license.

The post also claimed that the bank will be acquired by the founder of Eleganza Group of Companies, Razaq Okoya, to comply with the CBN requirement.

“Polaris Bank is currently undergoing a liquidation process for not being able to comply with the Central Bank of Nigeria Recapitalization requirements, and the bank will be put under NDIC to be liquidated, the bank license might also be revoked soon.

“But Billionaire Razaq Okoya has made a bid to purchase the Bank, and reinstate it, also to comply with the CBN requirement, this deal is said to be finalized the moment NDIC and Other shareholders agree with what Razaq Okoya is ready to offer,” the post read.

While responding to the liquidation claim, the apex bank tagged the post “fake”, insisting that the Nigerian banking system is safe and secure.

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“This content is fake. Let the public be guided. The Nigerian Banking System is Safe and Secure,” the CBN wrote.

In a similar vein, the Polaris Bank also raised a fake new alert on the post, saying, “ignore this misinformation circulating online,” referring to the liquidation post.

The bank added that, “Please note that the information being circulated is inaccurate. Our services remain fully operational and customers can continue to transact as usual.

“For verified updates, kindly rely on reliable media channels and our official communication channels, and avoid sharing unconfirmed information,” the bank stated, responding to a concerned customer, Yunus Abdul.

Meanwhile, the CBN concluded its 24-month recapitalisation process on Nigerian banks on 31 March to expand the capital base of the banks.