Some banks on Wednesday clarified their positions on the alleged suspension from the foreign exchange market transaction by the Central Bank of Nigeria (CBN) over alleged non-remittance of the NNPC dollar deposits.

The affected banks expressed their stance in statements and e-mails to customers on Wednesday in Lagos.

The banks include the FirstBank Ltd., Fidelity, Keystone and Heritage.

FirstBank in a statement, said that the referenced NNPC dollar accounts were fully disclosed to the CBN.

It said that accounts were being operated in line with the regulatory requirements.

The bank also said that tripartite documented discussions had been ongoing between the CBN, NNPC and the bank on the need for domestic retention of those balances.

It said that was as part of measures to ameliorate challenges posed by the lack of FX availability, and customers’ inability to source FX to fund their trade finance obligations to the bank.

The bank reassured all its stakeholders that the issue was not a function of concealment or willful non-compliance by the bank.

“We are confident in our ability to meet and honour all our obligations as at when due and are currently in talks with the CBN and other relevant bodies and are positive of an amicable resolution soonest,” said the bank.

Also, Fidelity Bank said it had repaid over 288 million dollars of those funds in line with the advised repayment schedule.

“We will like to clarify that these deposits were duly reported to the CBN by Fidelity Bank in line with the extant TSA requirements contrary to the erroneous view in certain media reports that the funds were concealed from the regulators.

“At the commencement of the Treasury Single Account (TSA) in 2015, Fidelity bank advised NNPC and the regulators with a schedule of repayment for the NNPC/NLNG dividend dollar deposits.

“Please note that you can continue to operate your domiciliary account with Fidelity and this development will not affect your deposits/loans (local and foreign currency), remittances, transactional services and electronic banking services.

“Although the market condition remains quite challenging, we will continue to honour our obligations and operate with the highest level of corporate governance,’’ the bank said.

The bank said in the interim that it was engaging with the other eight banks involved, stakeholders and the regulators to resolve the issue quickly and ensure its return to the FX market.

Keystone Bank, also in a statement signed by the management, said it had engaged in efforts that were geared towards very timely resolution.

It said the bank understood the importance of sourcing foreign exchange for its customers’ needs to support economic growth.

The bank said that the development did not adversely affect customers’ existing transactions with it except that there would be constraints in establishing new letters of credit until the issue was resolved.

Meanwhile, Heritage Bank said that the CBN’s announcement of temporary suspension was a systemic challenge to the banking industry that cut across most banks.

It said that the bank would continue to treat forex transfer, remittance from domiciliary accounts, establishment of non-valid for FX form Ms and establishment of Letter of Credit (LoC) on the bank’s offshore lines.

On August 23, the CBN barred the banks from the foreign exchange market.

The banks were United Bank for Africa (UBA), 530 million dollars and First Bank of Nigeria (FBN), 469 million dollars.

Others are Diamond Bank Plc, 287 million dollars; Sterling Bank Plc, 269 million dollars; Sky Bank Plc, 221 million dollars; Fidelity Bank 209 million dollars; Keystone Bank, 139 million dollars; First City Monument Bank (FCMB), 125 million dollars and Heritage Bank, 85 million dollars.

Keneking:
Stupid Excuses
Time for paddy paddy business of forex is gradually coming to an end
Who the bank forex epp sef?
Pay everything back to TSA -- sharp sharp
Where is lalasticlala sef

1. "The bank also said that tripartite documented discussions had been ongoing between the CBN, NNPC and the bank on the need for domestic retention of those balances." First Bank : You can't confuse us with your English. Nonsense statement

2. “At the commencement of the Treasury Single Account (TSA) in 2015, Fidelity bank advised NNPC and the regulators with a schedule of repayment for the NNPC/NLNG dividend dollar deposits." Fidelity Bank: Nonsense statement

Please post your mid-year report, make the necessary adjustments and lets see what is left. Nonsense. Who una epp sef

sammhi:

Stop displaying crass ignorance . Why will all monies be in TSA ? It is a very wrong principle or policy. Lots of moni sitting idle and helping no one . No wonder the country is dry.
All the govt should do is to have a full disclosure of amount and let the bank trade with and pay interest on the money to govt and also to make available whenever it is required . That is the way to do business .
Worse , why ban them from forex trading instead of a fine .
I wonder who advises this govt. some people are so half baked and quite backward in their thinking and are liking for who to label as thief or a saboteur of the govt.Such over zealous but empty skulls of aides of the president are doing more harm than good to him . They are in a rush to accuse people and shift blame .
It is a shame .

sammhi:

[s]Stop displaying crass ignorance . Why will all monies be in TSA ? It is a very wrong principle or policy. Lots of moni sitting idle and helping no one . No wonder the country is dry.
All the govt should do is to have a full disclosure of amount and let the bank trade with and pay interest on the money to govt and also to make available whenever it is required . That is the way to do business .
Worse , why ban them from forex trading instead of a fine .
I wonder who advises this govt. some people are so half baked and quite backward in their thinking and are liking for who to label as thief or a saboteur of the govt.Such over zealous but empty skulls of aides of the president are doing more harm than good to him . They are in a rush to accuse people and shift blame .
It is a shame [/s].

Keneking:


Transfer all monies to TSA simple and stop speaking grammar
Everyone else has complied and you are here giving excuses.

sammhi:

Stop displaying crass ignorance . Why will all monies be in TSA ? It is a very wrong principle or policy. Lots of moni sitting idle and helping no one . No wonder the country is dry.
All the govt should do is to have a full disclosure of amount and let the bank trade with and pay interest on the money to govt and also to make available whenever it is required . That is the way to do business .
Worse , why ban them from forex trading instead of a fine .
I wonder who advises this govt. some people are so half baked and quite backward in their thinking and are liking for who to label as thief or a saboteur of the govt.Such over zealous but empty skulls of aides of the president are doing more harm than good to him . They are in a rush to accuse people and shift blame .
It is a shame .

sammhi:

Stop displaying crass ignorance . Why will all monies be in TSA ? It is a very wrong principle or policy. Lots of moni sitting idle and helping no one . No wonder the country is dry.
All the govt should do is to have a full disclosure of amount and let the bank trade with and pay interest on the money to govt and also to make available whenever it is required . That is the way to do business .
Worse , why ban them from forex trading instead of a fine .
I wonder who advises this govt. some people are so half baked and quite backward in their thinking and are liking for who to label as thief or a saboteur of the govt.Such over zealous but empty skulls of aides of the president are doing more harm than good to him . They are in a rush to accuse people and shift blame .
It is a shame .

Zieristclair:
u are the ignorant one here.Why didn't the banks comply with the directive earlier?do you remember that a deadline was given and it was thoroughly flouted by these banks?dumb Nigerian who doesn't know his right.There are too many accounts operated by NNPC and the govt is taking the right step in consolidating them just the way a prudent and efficient one should so we shan't have another Diezani saga where $20b vanishes into thin air due to non-remittance.