This phenomenon called Nigeria, it's like some one in power of Position just wakes up one morning and goes "What can i do today to fck up these people's lives??". I like Sanusi but he fighting a long established legacy of id iots, corruption and bad management. It's a smart thing to have done this now than wait until the midnight of September 29th, 2011. The run on these banks would have been worse.

Guys, let's get some things clear,

1. I do not think revoking the licenses of these banks is actually bad, if they could not recapitalise,

2. Sanusi has tried to bring sanity and fairness in thebanking sector through his rigourous enterprise risk management framework amongst others.

The issue presently is his method,

1. Why would he give a deadline of September 30 and revoke the licenses of these banks over 50 days before the deadline?

2. He should know the signal effect and impact on the stakeholders(customers, staff etc) and shareholders

3. There is obviously going to be another banking turmoil, if anyone has his cash in any of these banks would he leave it and say the CBN has assured that nothing bad will happen? i don't think so

4. Why should we even  believe the CBN after they did not keep their word concerning the deadline?

5. Why is it that as i write , Bank PHB signages are being removed and replaced with Keystone Bank? Where they made yesterday night??

6. Why does Sanusi like controversies? We are yet to absorb the Islamic Banking issues, Cash Policy Limit, and then this?!!!!

These things were pre-determined long before now, Sanusi cannot lie to us. If some people on this blog think this affects only the concerned banks , then they they should critically think again. Another trouble looms. I do not even know what's next cos now i'm very disappointed and i kind of doubt the CBN's integrity on the banking reforms.

The justification given for this premature decision is lousy. Why didn't Sanusi even announce this? Why was it the Minister of State for Finance ? Only God knows what is next.



My point is thus; From these happenings, one could suspect a hidden agenda, and the CBN is loosing it's power to ensure confidence in the financial industry. Their integrity can be questioned, and we all know that banking has all to do with INTEGRITY.

I am clearly not against the revoking of licenses, they are/should be the professionals , they see the books , they know the game. But why NOW?? and not after September 30, 2011

This is clearly a case of putting square pegs in circular holes i.e tactlessness. We are back to trying to convince our source of income (the customers) and driving business again. How long will CBN guarantee the interbank market?? For how long will the CBN drive the real sector through the intervention funds?? This is two years into his administration and we are back to "zero"

SLS had better give answers soon! I actually love his ideas but i hate his methods!!!

lastpage:

2bosun,  do you actually think you need to refer to me as “being silly”, to convey your very sincere opinion on this topic? We cant all see things from the same angle and it does not mean either of us is silly, it simply means we have “differing opinions” on the issue! What do you think?

Having said that, if you look at my contribution, it was a “wholistic appraisal of his overall performance” since 2009. If you ask me, what better yardstick can we use to appraise a CBN-Governor’s performance, if not the RESULT of his fiscal and monetary policies? And what better  indices, which is general enough to represent “everything and everyone”, than the prior and current value of the “currency” he/she manages?

*Are the banks doing better in the last 2years? NO
*Could he have managed these “bank crisis” in a better way such that less “systemic upheavals” are experienced? YES (Remember his penchant for going to the press even before any action is taken, thereby creating a run on banks liquidity?)
*Is inflation down? No
*Is the “National Reserve” increasing? NO, its rather decreasing!
*Has his policies increased “local or International confidence” in the country? NO
*Do we have more failed, collapsed, collapsing, forcefully bought over  banks now, than prior to 2009, (as a percentage of existing banks)? YES!
*Has Sanusi “successfully managed ANY BANK with a problem” during his tenure? NO! All he does is revoke license here and there (causing loss of employment, loss of credibility and investor confidence, capital flight, e.t.c). Is he a “specialist” in a kind of “catastrophe style” of management?

Does anyone recall when the owners of Continental "raised alarm" about the quality of type of looters (who happen to be Sanusis' cronies!)that Sanusi appointed to manage the bank and how they were fast depleting the little that is left, of the rot they themselves have created?
Sounds like a case of "From Frying Pan, to FIRE"!

Now, l am finding it “very difficult” to come-up with other index to use in appraising his tenure!
May be you can help me, please?


@Chamber2 What more can l add?
@sirjec:
Seems the more he “destroys”, the more he gets praised!

Cheers, Lastpage.


BTW: As for two of you (ola olabiy & akyns), you are entitled to your position and l respect that, my only wish, “is that you at least learn how to discuss CIVILLY in a public discuss” without this public display of “crass vulgarity and lack of social skills”! Until then, l respectfully refuse to engage you in any discussion.

I apologize if you were offended, but your analysis was and is still deeply flawed. First, the CBN has 0 to do with the Fiscal policy- that's the FG's arena. The CBN handles the monetary policy and another thing is that the National reserve has increased by about $4bn in the past 3-4 years. Go and check the facts and come back. Banks are much stronger than in the past 2 years- just look at their balance sheets, I'm talking about the GTB's, SC's etc. 6 strong banks that can withstand the heat of the Nigerian economy is better than 20 that would collapse when the going gets tough.

The only reason banks were not collapsing back then was that the rot was covered and the going was "good", I remember the Intercontinental IPO which I stupidly subscribed to and is pretty much worthless now due to cooking up of figures by the Executives. In the face of a global crisis like we're facing now- these banks would DEFINITELY need to be bailed out which is why he's doing what he's doing.

Unfortunately, the way things are in Nigeria you need to act fast because before you say anything, the execs would have cleaned the innocent man's savings and jet abroad. Then it would be left for the FG to clean up the mess which would have been extremely costly!
I can bet Ngozi and Jonathan gave him the go ahead because at the end of the day it was in the interest of the economy.

For a guy who read Sharia from Somalia, I am not suprised.
Nigeria is a joke. Jonathan, please call for a national Conference now.

@Lastpage

Please, as best as you can in plain simple English,What happens to shareholders?

Nigerians are in a very deep sh*t with SLS doing the bid of his boko haram masters we really need to pray the God will clip his wind he is becoming a parallel president with GEJ. With our GEJ with a high degree of inertia we really need to pray if u would recall SLS is behaving exactly like NLC Adams(EDO) during OBJs regime where Adams gives instruction to the Nation when there was a sitting president. We need to tread softly SLS is running some evil agenda if urgent action is not taken boko haram may be running the economy of Nigeria. My prayer is that Nigeria will not turn to either Pakistan or Lebanon or Palestine where terrorits groups are in control.God will clip the wings of SLS and turn all his counsel to foolishness.AMEN AND AMEN

is it true Ecobank is taking over Oceanic? Or Oceanic is taking over Ecobank?

Let some one answer the question above pls.

Super T:

is it true Ecobank is taking over Oceanic? Or Oceanic is taking over Ecobank?

Let some one answer the question above pls.

Ecobank Transnational Inc, has acquired oceanic.

What of shareholders o

Anything for them?

Skii:

What of shareholders o

Anything for them?

Read Omaojo1's post.


OE = -5 (MINUS 5)

@Skii

@Lastpage

Please, as best as you can in plain simple English,What happens to shareholders?

If we are to go by previous experience, as in "What happened to some banks whose license were revoked by CBN, prior to now"?

Basically, the bank ceases to operate.

In the current cases, we are been told that "No job would be lost and customers funds are safe + banking operations still continues! l think this is a load of rubbish and an attempt at "grand-deceit"! If all the above are true, then one will be tempted to ask: What then is the essence of the "name-change"? Why hand them over to NDIC?
Are those just cosmetics? Naaah, we are not fooled one bit!

If all that is needed is a "name change", how come NDIC (Deposit insurance) is taking over the banks?
What "kind of bank" does NDIC take over? DISTRESSED BANKS, simples!

Having said the above, NDIC has taken over these banks with the sole intention of "winding them down"! (Forget all the brinksmanship and red-herring we are being fed, get your money out, if that is still possible by Monday but l sincerely doubt anyone can withdraw a farding from those banks by Monday! QUOTE ME on this!

As it were, "in summary", those banks can be considered as being in NEGATIVE EQUITY!

Its not a joking matter but CBN has just said "They owe more than they have"! That simply is negative equity, in "plain language"!

So, NDIC will collate all remaining "Assets" (building, Equipment, Debtors, e.t.c) and do the following:
1.) Is there anyone/Group or investor ready to buy the "carcass" as it were, at a give away price? And such buyer would assume the liability of the bank(s),
Highly improbable.

2.) After "selling all its 'sell-able' assets, it will disburse the money recouped, in the following order, starting from:

(a) "INSURED CUSTOMERS", to a certain amount, NDIC will pay them a certain percentage of their deposits.
(b) The Banks creditors, like suppliers would come next, to be settled their dues
(c) The Banks "INVESTORS" would then be considered next!

The shareholders (being in the category of investors) are considered as "intentional risk-takers" since they would have made a lot of profit if the banks have done exceedingly well (and no one would begrudge them!) but on the flip side, now that the banks have also "done exceedingly well" , unfortunately, they have MADE A LOSS!
That is the risk aspect of business!

In reality, since such bank is in "negative equity", by the time they settle (a) and (b), l doubt if their would be money left to settle (c), or why else would they be in such situation, if they have that much money?

I hope you get my "drift"?, l feel a lot of sympathy for folks like me (l hold shares in PHB! ), l am only trying to put up a brave face and put  light humor to "another one bites the dust"!

Everyone should take heart.

Serrai, serrai, what ever will be, wil be,.,.,.,.,.,.,.,lala la,lala lala,.,.,.,. (sings himself to a fitful sleep)

@2bosun:

Of course, l was offended or why else do you think l would point it out?
Apology accepted.

Agreed, l see a lot of sense in what you posted up there. The banks were in deep rot, even before Soludo came-in (not to talk of Sanusi) and l have first-hand experience of the "Double, Customer-Database-Server syndrome" in our Banks (One for CBN inspectors, the other one is the live, customer Database! )

But let me ask: what do you think is the core responsibility of ANY CBN Governor?
Do you think management of the nations currency, is part or even an important part of such remit?

Cheers & tanx.

lastpage.

Skii:

@Lastpage

Please, as best as you can in plain simple English,What happens to shareholders?

Shareholders?

CBN's action is to protect depositors and not shareholders.

So all shareholders loose.

I sold all of my  stocks from those rescued banks on on Monday.

I never knew they will liquidate on Friday.

I was just lucky.

We need brace up for another market showdown on Monday.

People will drop most banking stocks for now.

Old New
• Afribank • MainStreet Bank
• Bank PHB • Keystone Bank
• Spring Bank • Enterprise Bank

AMCON is expected to open up negotiation with investors who may be interested in capitalising the Bridge Banks. With this action, a resolution of the crisis in the Nigerian banking system is assured, as it brings certainty and stability to the banking system. It worthy of note, that unlike other parts of the world where depositors lost funds in the resolution of banking crisis, no depositor lost any fund in this reform process in Nigeria

So Sanusi will first Nationalise the Banks, then later sell them off .

@ola olabiy

Sorry, man.
Maybe I should have worded my post differently but I was neither crass nor vulgar. Sorry, again.

Apologies accepted. We are Brothers, we disagree to agree!

My apologies 2u, too.

wait o! some of d posts i read that blame sanusi just sound dumb.
is it his fault dat these banks chose to operate like 419 syndicates are are now payin d price for meetin a cbn gov who decided to play d game according to d rules and not pretend all is well?? the truth is all was neva well!!
some of u point to potential job losses as ur reason for d emotional attacks on his, but truth is these job4 were from d onset were nothin but a mirage and were neva going to last and besides wat about the investors whom dont have to worry anymore about security of thier investments?? dont they deserve ur sympathy
this whole episode summarises d nigerian attitude of not blaming the thief who stole but blaming the owner for keepin his property carelessly!
truely sad!

Some people are novice in banking and finance and instead of keeping there mouths shot, they kept on passing comments on what they know little or nothing about. What is the fault of Sanusi in putting things right in our banking industry. If u cannot give kudos to him, then stop abusing him or rather keep shot. Sanusi is an intelligent CBN governor that Nigeria is lucky to have now.

This is banks finally have been nationalized and probably would be sold to the Mutalabs for peanuts and used for the commencement of their much talked about Islamic banks.
Some people here praising Sanusi and calling this rubbish a good move do not have any idea the extent to which Sanusi has destroyed our financial sector with his gross ineptitude and tactless policies.
When he took over these banks, he pumped in about 4billion US dollars into them, gave us assurance that they wont be allowed to fail, they even appointed their own corrupt managements and after all that fanfare and un-neccessary noise, they have come through the backdoor to pump in another money that will go down the drain.
Whether it is AMCON or NDIC pumping the money, one thing is certain, people are no more interested ib doing business with these banks again because our egocentric CBN governor has ensured that the confidence in those banks is non-existent. The new money being pumped in now, will be used to pay liabilities, majority of which id customer's deposits- dead right, we are going to withdraw it by monday then they will understand the enormity of the problems they keep creating. No doubt people will lose jobs, all that talk of people retaining their jobs is pure PR poo; when the bridge banks go thesame way like the others, they will downsize as usual and unleash their PR to explain why they had to downsize and thesame gullible public mesmerised by Sanusi's grammar will be cheering only for them to realize later that they are the ones losing their jobs even though there are no tangible improvements.
Truth be told, Sanusi started off recklessly and that is why those banks could not recap. Why he has refused to work with the shareholders of these banks is even more suspicious, why not let the shareholders recap their banks initially instead of the mafioso take over style he pulled 2yrs ago. Now the ripples of his ineptitude are begining to show effects in those banks and he is resorting to arm-twisting tactics to make himself look pre-emptive and calculative, september 30 is now August 5th, how typical of an inconsistent lame duck.oney that will go down the drain.
Whether it is AMCON or NDIC pumping the money, one thing is certain, people are no more interested ib doing business with these banks again because our egocentric CBN governor has ensured that the confidence in those banks is non-existent. The new money being pumped in now, will be used to pay liabilities, majority of which id customer's deposits- dead right, we are going to withdraw it by monday then they will understand the enormity of the problems they keep creating. No doubt people will lose jobs, all that talk of people retaining their jobs is pure PR poo; when the bridge banks go thesame way like the others, they will downsize as usual and unleash their PR to explain why they had to downsize and thesame gullible public mesmerised by Sanusi's grammar will be cheering only for them to realize later that they are the ones losing their jobs even though there are no tangible improvements.
Truth be told, Sanusi started off recklessly and that is why those banks could not recap. Why he has refused to work with the shareholders of these banks is even more suspicious, why not let the shareholders recap their banks initially instead of the mafioso take over style he pulled 2yrs ago. Now the ripples of his ineptitude are begining to show effects in those banks and he is resorting to arm-twisting tactics to make himself look pre-emptive and calculative, september 30 is now August 5th, how typical of an inconsistent lame duck.

Acquisition Highlights
I hope this will shed more light on what is really happening and for people to know that in the long run, everything is done to bring sanity back into the system


AMCON Buys Afribank, Bank PHB, Spring Bank

• To inject N678bn lifeline
• No longer bridge banks
• Banks to be sold in three years time
• To operate as national banks
• Four of the eight rescued banks account for 80
   percent of negative asset value of the eight banks
Nigeria’s financial regulatory authorities Saturday moved into the final phase of plans to forestall the systemic collapse of the banking industry with the handing over of the three banks nationalised on Friday to the Asset Management Corporation of Nigeria.
The Nigerian Deposit Corporation of Nigeria had taken over former Afribank Plc, Bank PHB Plc and Spring Bank Plc following the withdrawal of their licences by the Central Bank of Nigeria over their inability to meet the September 30 deadline to recapitalise.
It created three bridge banks, Mainstreet Bank, Keystone Bank and Enterprise Bank, to take over the assets and liabilities of the banks in the interim.

A bridge bank is a temporary bank established and operated by financial regulators to acquire the assets and liabilities of a failed bank to facilitate its resolution.
However, at a ceremony Saturday in Lagos, NDIC sold the three interim banks to AMCON through a subscription agreement. The transaction terminated the existence of the bridge banks.

NDIC Managing Director, Mr. Umaru Ibrahim, announced the transaction at a media briefing where the agreement on the transfer of ownership of the banks to AMCON was signed.

His AMCON counterpart, Mr. Mustapha Chike-Obi, said N678 billion would be injected into the three new banks to raise their capital adequacy ratio to 15 percent respectively and also to enable them to pay back the funds that CBN injected into them in 2009.
The CBN had injected a N400 billion lifeline into five banks, including Afribank, in the first tranche of banks it rescued in August 2009, and injected another N200 billion when it intervened in the operations of three banks—Equatorial Trust Bank, Spring Bank and Bank PHB—  two months later.

Chike-Obi explained that AMCON would issue bonds tomorrow to raise the funds to pay bank the CBN.
According to him, while a total of N285 billion will be given to Mainstreet Bank (formerly Afribank), Keystone Bank (formerly Bank PHB Plc) will get N283 billion while Enterprise Bank (Spring Bank) will get N110 billion.

AMCON will recapitalise the banks, manage them for about three years, before finding new investors.
Chike-Obi said the decision to take over the banks was taken after due consultations among the regulators.
He said: “We need a stable banking system. Also, we have emphasised that no depositor will lose their money. That was the mandate given to the regulatory authorities and that is the mandate we are all pursuing.

“Depositors’ funds are safe, the employees’ jobs are safe. These banks will now operate in a stronger position than they were yesterday. AMCON will oversee these banks, the management will run these banks as going concerns and CBN will regulate these banks in pursuant to its mandate.

“This is not a case of government interference; this is a case of government doing what it is expected to do. This is being done in pursuant to the provision of the AMCON Act 2010 and we hope that these banks would in the future be seen as shining, individual, competitive entities.”

Ibrahim pointed out that by the subscription agreement, AMCON has become the owner of the three banks and will provide sufficient capital to restore the banks to the level of capital adequacy required for their operations.
“With the successful sale of the bridge banks, the NDIC has fulfilled its primary objective of ensuring that depositors in the banks do not lose their funds.

‘The capital provided by AMCON through share subscriptions will strengthen the banks’ liquidity and allow them to carry on business and meet all their obligations as they fall due.

“The liquidity position of the banks will be further enhanced by the willingness of the CBN to extend the guarantee of their interbank obligations until December 31.

“AMCON has identified independent and credible persons with significant and required experience to fill the boards and senior management positions for the bank and will be seeking the approval of the CBN for their appointments.

“AMCON is confident that the new teams will manage the banks to establish strong market positions and effectively compete in the Nigerian banking sector,” he added.

Ibrahim said the Securities and Exchange Commission and the Attorney-General of the Federation were aware of the plan to create the bridge banks, adding that SEC will soon make a pronouncement on the shares of the former banks listed on the Nigerian Stock Exchange.

For clarity, CBN’s Deputy Governor, Financial System Stability, Mr. Chiedu K. Moghalu, stressed that the new banks are “no longer bridge banks as at today (Saturday). They were bridge banks as at yesterday (Friday).” 

He said the three new banks had been issued commercial banking licences, with a national jurisdiction.
He described the regulators’ actions as the most effective in dealing with the malaise creeping into the financial sector, adding that the NDIC took the decision to transform the three banks after an assessment of the eight rescued banks. President Goodluck Jonathan, he revealed, endorsed the plan.

Moghalu stated: “Four of the eight rescued banks have signed Transaction Impleme-ntation Agreements and those four banks represent nearly 80 percent of the negative assets value of the eight intervened banks combined.

“Those three banks, in the assessment of the CBN, could not have met the deadline for the recapitalisation of the banks. Since the banks could not have met the deadline, there was no point in prolonging the situation.

“I will like to draw your attention to Section 39 of the NDIC Act which clearly states the legal basis for the action we took. Bridge banks have been used in various parts of the world; they are a very neat way of resolving the problem. The most important thing is that it prevents the liquidation of the three erstwhile banks.”

Moghalu added that by the action of the regulators, “the banking crisis of 2008 and 2009 have been finally, firmly and fully resolved.”
“What has happened is that these three banks have been in a bridge status for some hours this weekend. They are now full banks on their own, having been acquired by AMCON.

“We hope that there will be no legal challenges from the shareholders. But everyone is free to legally question the implication of our action,” he added.

http://www.thisdaylive.com/articles/amcon-buys-afribank-bank-phb-spring-bank/96069/
http://www.thisdaylive.com/articles/timeline-on-the-banking-crisis/96067/
http://www.thisdaylive.com/articles/-and-three-bite-the-dust/96068/

this is what we get when we ve a CBN gov who is clueless, irrational and impulsive rather than professional. This is no breaking news! I saw it cooming.

is it still confusing to anyone the Sanusi is acting out a script, obviously NO. He is the Boko Haram in the government but unfortunatly our dear GEJ is sitting cool enjoying presidential largese. Sanusi's actions all along have been clear unfortunately the death of Yar adua put spanners in the wheels. Now he is confused, everything else he has been doing is to try to cover up the evil plot of the cabal on Soludo's laudable achievment, but it is ok, as far as we know truth will always prevail over falsehood. He can do what he likes ofcourse with the able backing of GEJ, but we know it takes just the likes of Okonjo in this goverment to teach them the rudiments of banking. I am shocked that a simple issue as recapitalisation, mergers and acquisition has turned into rocket science that is heating up our dear country, simply because we have square pegs in round holes.

I felt like weeping when I read the news? After they made the announcement, they are now bringing in AMCON for damage control. Just wait for Monday morning and you wil see the huge run by depositors on those banks.

Why the hurry? The Sept 30 deadline is not here yet.

Why the announcement by minister of state for finance? Why didnt Sanusi do his dirty job? If finance ministry was bent on doing this why not wait for the resumption of Okonjo- Iweala. So they quickly did it before she came abi?


I see a link here, Sanusi was minister of state for finance's oga in Firstbank. Dr Ngama was actually poached from Diamond to Firstbank by Sanusi. I weep for our economy, the worst is yet to come.

groovy400:

this is what we get when we ve a CBN gov who is clueless, irrational and impulsive rather than professional. This is no breaking news! I saw it cooming.

Obviously, you haven't read all / at least most comments on this thread spanning all 6 pages. Some people visited this thread with similiar mindsets like yours but they chose to educate themselves first, now, they have seen the light. I advise you read the post directly above yours at least for clarification on the issues you have blamed our able & effective (though not perfect) CBN governor for.

As for me,well, i'm considering BUYING any of these 3 banks stocks soon as i have the cash , so please people, go and sell on monday o, so the price go drop , and then d smart ones will buy later in the week & wait for what happens in d next few months. But from what i've just read (Denee's last post), i think all might indeed turn out well.

Kudos to NDIC,
Kudos to CBN,
Kudos to Sanusi for pushing for the setting up of AMCON,
Kudos to the Sanusi haters who are beginnin to grudgingly accept that the man is quite capable.

Conspiracy theorists will still come here and spend hours typing on just how the buying of the former bridge banks is a way to ''islamise'' or ''northenise'' Nigeria in the long term (3yrs abi). Lol.

I am a staff in one of the affected banks and this is my point.

The CBN intervention is a good initiative but I have a serious doubt with its implementation.
I will hold the apex bank for planning this betrayal chess game since 2009 to take over some of these banks with this reason; Why would the CBN avoid appointing a business minded MD instead of auditors? This is a clear indication that the CBN head does not want the banks to seal concrete deals on recapitalization. Business minds are purely and solely different from auditors mind.

I still ask, why would he take this step before sept 30 as his deadline. Though I understand some shareholder where planning some shady deals by monday.

I also ask why would he do this before the resumption of Okojo Iwuala?

Secondly, Islamic banking invisible managers cannot penetrate Nigerian market without competing favourably on the same platform as other perceived healthy banks if not through acquiring existing banks and maintain their customer base and assets.

However, one of the top economy driver in this country in the person of Dangote as an islamic man will simply key into this non-interest bank. No hausa business man would want COT charges and other interest bearing charges as its against their religion.

Nevertheless, Islamic banking has been proven to be an economy growing tool but has a major flaw as a means of funding terrorism because of their huge wealth base. Nigeria is a lawless country where cash are moved around without questions.

Al quada has stated that Nigeria will be one of their base and with this banking reforms its clearer now on how their operations will be.

Finally, I implore us all to understand and stand for the TRUTH else we will be wiped and deprived of our natural resources soon to be sold out to the asians as Nigeria and africa as a whole is the surviving continent for the world in the future.
if you need a chat with me ping me on 20d164fd


Regards,

Find Out!:

Obviously, you haven't read all / at least most comments on this thread spanning all 6 pages. Some people visited this thread with similiar mindsets like yours but they chose to educate themselves first, now, they have seen the light. I advise you read the post directly above yours at least for clarification on the issues you have blamed our able & effective (though not perfect) CBN governor for.

As for me,well, i'm considering BUYING any of these 3 banks stocks soon as i have the cash , so please people, go and sell on monday o, so the price go drop , and then d smart ones will buy later in the week & wait for what happens in d next few months. But from what i've just read (Denee's last post), i think all might indeed turn out well.

Kudos to NDIC,
Kudos to CBN,
Kudos to Sanusi for pushing for the setting up of AMCON,
Kudos to the Sanusi haters who are beginnin to grudgingly accept that the man is quite capable.

Conspiracy theorists will still come here and spend hours typing on just how the buying of the former bridge banks is a way to ''islamise'' or ''northenise'' Nigeria in the long term (3yrs abi). Lol.

Sanusi never initiated the setting up of AMCON, Soludo did. Get your facts b4 going public.

@nwabobo- [s]Sanusi never initiated the setting up of AMCON, Soludo did.[/s] Get your facts b4 going public.
you are slightly incorrect.Yes AMCON was part of the 16 point agenda in the original consolidation plan which was initially suggested by Joseph Sanusi (apparently He didn't have the clout to implement any of the plans on the 'white paper')

Soludo just suggested that the government should set up a TARP fund(troubled assets relief program) for the industry to cushion the effects of bankruptcy anticipated during the first round of consolidation. He later jettisoned this idea when most banks were able to recapitalize with 25 billion and replaced it with a second phase of consolidation which I would say, started the whole mess in the industry today. It was during the second phase of consolidation that banks started cooking up their financials,conducting fictitious valuations and manipulating stock prices so that they could raise fresh funds from the capital market.


I still recall watching an interview that Soludo granted during the wake of the recent global liquidity crisis and he categorically said that the banking sector in Nigeria does not need the relief fund because banks have successfully completed another round of consolidation and 'Nigerian banks are too big to fail'(I am presently trying to search for the video on YouTube)

It was during this period that there was this mad rush to open branches on every street and loans were granted with reckless abandon.

So my take is this-Soludo might have had the idea but Sanusi actually fought for it and ensured that the bill for the creation of AMCON was passed by the National Assembly

Find Out!:

Obviously, you haven't read all / at least most comments on this thread spanning all 6 pages. Some people visited this thread with similiar mindsets like yours but they chose to educate themselves first, now, they have seen the light. I advise you read the post directly above yours at least for clarification on the issues you have blamed our able & effective (though not perfect) CBN governor for.

As for me,well, i'm considering BUYING any of these 3 banks stocks soon as i have the cash , so please people, go and sell on monday o, so the price go drop , and then d smart ones will buy later in the week & wait for what happens in d next few months. But from what i've just read (Denee's last post), i think all might indeed turn out well.

Kudos to NDIC,
Kudos to CBN,
Kudos to Sanusi for pushing for the setting up of AMCON,
Kudos to the Sanusi haters who are beginnin to grudgingly accept that the man is quite capable.

Conspiracy theorists will still come here and spend hours typing on just how the buying of the former bridge banks is a way to ''islamise'' or ''northenise'' Nigeria in the long term (3yrs abi). Lol.

Sorry, you cannot buy into those banks until they are sold off.

That will be after 3 years.

The so called bridge banks are LTDs and not PLCs.

AMCON did not actually inject N678bn in cash  into those banks.

AMCON injected  N678bn in bonds.

Which means the bond holders(bridge banks) will have to source for fund their-selves.

All deeds have been done, CASE CLOSED. Everyone to now bear it in mind that we have a DECEITFUL CBN Governor. In all these acts he has not said a word, he just presents the Min of Fin or his deputy to do the talking. September 30 should have been maintained.

I ask the business minds here,,,Do you think that the MD of bankphb Francis Atuche would have recapitalized his bank? My answer is 200% yes. He is a business mogul, a goal getter and an achiever. He would have done that.

I would suggest to him to play invisible and buy his bank back from Amcon. That is the only way to get his baby back to him.

Wait a minute! So, its no longer "bridge Bank"?
It has suddenly gone from NDIC's Bridge to "Nationalization" overnight!(using government money to take over private enterprise!) and from that to AMCON! (and then pass it over to their friends and cronies later on; does this remind me of Mallam El Rufai's infamousBurea of Public Privatization? -BPP))


This is a classic case of VODOO banking policy!  

Sanusi, you try no be small!