Zenith Bank reacts to allegations of unpaid dividends against oil company as police begin investigation

• Zenith Bank says it will comply with court order regarding Aquitane Oil and Gas Limited’s unpaid dividend claims
• This comes after the company petitioned the Inspector General of Police regarding Zenith Bank’s alleged falsification of financial statements of the business.
• Responding to the case, the deputy general manager of Zenith Bank said that the financial institution was defended in court

Legit.ng journalist Zainab Iwayemi’s Economy, Technology and Capital market.

Zenit Bank He stated that Aquitane Oil and Gas Limited will comply with the court order regarding the claims of unpaid dividends.

Chinedu Zeph, the bank’s deputy managing director, said this in a recent interview.

What happened

On November 7, Aquitane Oil and Gas Limited submitted an application. petition Inspector General of Police (IGP) Kayode Egbetokun over Zenith Bank’s “falsification” of the company’s account statement to “conceal” the lender’s failure to pay dividends.

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Aquitane Oil, legal counsel Lukman O. Fagbemi & Co. He filed a petition through on October 11, 2024, requesting the IGP to look into the matter. of Zenith Bank Efforts to “conceal illegalities committed” related to the company’s interests in the financial institution.

According to Aquitane Oil, when Zenith Bank held its initial public offering (IPO) in 2008, its subsidiaries, Globular Trading Investment Services Ltd. and Southern Grace Investment Ltd. acquired 10,775,399 shares and 17,425,300 shares through.

Southern Grace and Globular Trading discovered in 2020 that Zenith Bank had not paid dividends on its shares since 2008, according to the oil business.

The bank was accused by Aquitane Oil of failing to pay dividends of more than N1.4 billion due from 10,775,299 and 17,425,300 shares of its subsidiaries.

Police launched an investigation

Two weeks after police began investigating the case, the oil company said the bank had yet to address allegations that Aquitane Oil and Gas Limited’s account statement was fake.

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The company also alleged that senior officials invited for questioning to the Force’s Criminal Investigation Department, including the Chief Compliance Officer and the accounts officer in charge of Zenith Bank’s accounts, refused to accept the police invitation due to the ongoing investigation.

Zenith Bank reacted

Deputy general manager of Zenith Bank informed Cable that the case is already in court to defend the financial institution.

Zeph claims that after the case was taken to court, the police wanted the bank manager to be questioned.

He stated that since the case is currently in court, it is best for both parties to wait for the decision.

“This is a person who owes money to the bank and then uses the money to buy shares and enjoy the dividend under another name,” he said.

“The law passed in Nigeria says that when you owe money to a bank, you can apply to pay off your loan wherever you have money in this country. If he is not satisfied, we are already in court.”

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But Zeph said that despite various versions of the story appearing in the media, he would recommend waiting for the court’s decision “rather than taking sides or making malicious reports.”

CBN governor gives update on bank’s financial situation

legit.ng The Central Bank of Nigeria (CBN) has reportedly confirmed the existence of the country’s Deposit Money Banks (DMBs). stay strong despite facing both domestic and international challenges.

CBN Governor Yemi Cardoso announced this on Tuesday, November 26, 2024. Abuja While presenting a statement after the 298th meeting of the Monetary Policy Committee (PPC) of the apex bank.

It would be recalled that at the committee meeting in September, Cardoso assured Nigerians that the country’s banking sector remains safe, stable and sound.

Source: Legit.ng