Union Bank of Nigeria has moved to calm customers and investors after a Federal High Court in Lagos nullified the Central Bank of Nigeria’s (CBN) January 2024 dissolution of the bank’s board and management.
Justice Chukwujekwu Aneke ruled that the CBN’s action was ultra vires, quashing all decisions taken by the CBN-appointed board and ordering the immediate restoration of Union Bank’s former leadership. The court also barred the CBN and its agents from taking any further steps, including those related to the bank’s planned recapitalisation.
In response, Union Bank issued a statement reassuring customers that operations remain fully functional and funds are completely safe. “Throughout this period, your accounts and funds have remained completely safe,” the bank said, noting that all branches and digital channels continue to provide services at the usual high standard.
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The bank highlighted its 108-year history of serving individuals, businesses, and communities across Nigeria, emphasising that its legacy is built on enduring relationships and trust. “We do not take that trust lightly,” the statement added, encouraging customers to continue banking with full confidence.
The January 2024 intervention by the CBN had appointed Yetunde Oni as managing director/chief executive officer and Mannir Ubali Ringim as executive director, in a move aimed at overseeing strategic changes including recapitalisation. Analysts say the court ruling underscores the limits of regulatory authority and the importance of corporate governance in Nigeria’s banking sector.
Union Bank’s quick communication reflects a broader trend in the Nigerian financial sector of proactively reassuring clients during periods of legal or regulatory uncertainty, a step analysts say is key to maintaining confidence in the banking system.
Customers were advised to contact their dedicated relationship management teams for any inquiries or assistance. The bank’s message underlines that despite governance disputes, its operations and services remain uninterrupted.