Effective February 11, 2025, Keystone Bank has been taken over by the Central bank of Nigeria, CBN, according to the commercial bank, citing the court judgment to that effect.
The commercial bank made this known, on Wednesday, following a judgement by the Lagos State Special Offences Court, sitting in Ikeja, Lagos.
An Ikeja Special Offences Court had on Tuesday ordered forfeiture to the federal government, of Sigma Golf Nig. Ltd. rights, title and interest in 6,250,000,000 units of the Keystone Bank Ltd. ordinary shares of N1.00 each.
According to the News Agency of Nigeria, NAN, Justice Rahman Oshodi, the presiding judge ordered the winding up of the company, following a suit filed in January this year by the Economic and Financila Crimes Commission, against two former shareholders of the bank, Sigma Golf Nigeria Limited and Alhaji Umaru H. Modibbo.
Subsequently, the commercial bank in a statement seen by The Source, on Wednesday ,said a new dawn has began as the lender now belong to the federal government.
Going forward, the bank said, the development will further strengthen the bank as it prepares for recapitalisation, assuring customers and stakeholders that the commercial bank is now positioned for “sustained growth and stronger partnership.’
The bank said, “Recall that on January 10, 2024, the Central Bank of Nigeria (CBN) announced the dissolution of the previous Board and Management of the Bank for corporate governance breaches. The CBN followed this action with the appointment of a new Board and Management for the Bank.
“Subsequently the Federal Government through the the Economic and Financial Crimes Commission (EFCC),filed a court action at the Lagos State High Court, Ikeja, against the former owners challenging the acquisition of the bank.
“At the sitting of the court today, February 11, 2025, the court ordered the forfeiture of the shares of the Bank previously held by the shareholders in favour of the Federal Government of Nigeria. The implication of this judgment is that Keystone Bank Limited is now fully owned by the Federal Government of Nigeria.
“This development marks a significant milestone in our journey, reinforcing our stability and paving the way for a seamless recapitalization process. With this clarity, we are well-positioned for sustained growth, stronger partnerships, and enhanced profitability,”.
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