NDIC Sues Wema Bank for ₦125.38 Billion in Assets

The Nigeria Deposit Insurance Corporation (NDIC) has initiated two separate lawsuits against Wema Bank in the Federal High Court in Lagos, aiming to recover assets valued at ₦125.38 billion associated with the defunct Gulf Bank PLC. The first suit alleges that Wema Bank made unauthorized payments totaling $401 million concerning six plots of land on Banana Island, acquired between 1998 and 2003 by Euston Wenberg Engineering Company Limited.

NDIC claims these properties, spanning 13,794.145 square meters, were valued at ₦62.07 billion at market rates. The second suit involves six plots acquired by Bacad Finance Investment Limited, which later became Supra Commercial Limited, with NDIC alleging that Wema Bank took custody of these properties without a valid mortgage court order.

NDIC seeks to recover $401 million allegedly collected by Wema Bank and has requested the court to declare the sales illegal and void. Wema Bank has filed a preliminary objection challenging the court's jurisdiction, arguing that the claims do not arise from a debtor-creditor relationship.