By MIKE ABBAH
The Central Bank of Nigeria has announced the reconstituted board of directors for a Nigerian commercial bank, Keystone Bank.
This is coming on the heels of the dissolution of the former board of directors in January 2024;
This development was announced on Wednesday, as part of the apex bank’s strategy to ensure sustained growth for the financial institution.
In a statement from the Keystone Bank, Ada Chukwudozie has been appointed as the new board chairman, alongside five other non-executive directors.
The directors include Abdul-Rahman Esene, Mrs. Fola Akande, Akintola Ayodeji Olusoji, Obijiaku Samuel, and Senator Farouk Bello.
In addition, the CBN also named two new executive directors, Ladi Oluwole and Abubakar Usman Bello.
Speaking on the appointments, Keystone Bank’s Managing Director and CEO, Hassan Imam, said he is optimistic that the new board members will bring their wealth of experiences to a crucial role in the bank’s continued repositioning and growth.
“We are pleased to welcome the new chairman, non-executive directors, and executive directors to the board of Keystone Bank.
“We are confident that their extensive experience will be invaluable as we continue to reposition the bank to seize emerging economic opportunities while maintaining strong corporate governance and providing our customers with a secure and reliable banking experience,” Imam said.
It could be recalled that the CBN on January 10, 2024 dissolved the boards of Union Bank, Keystone Bank and Plaris Bank.
This drastic move stems from the banks’ alleged non-compliance with regulatory requirements and corporate governance failures, as outlined in the Banks and Other Financial Institutions Act, 2020 (BOFIA).
Specifically, the CBN identified violations related to the sections highlighted below, resulting in the immediate dissolution of the boards of the Affected Banks.
Section 12(c): non-compliance with the conditions under which their licences were granted
Section 12(f): involvement in any situation, circumstance, action or inaction that threatens financial stability
Section 12(g): failure to comply with the Act or any other directives and regulations issued under the Act
Section 12(h): In the opinion of CBN, the bank is critically under-capitalised with a capital adequacy ratio below the prudential minimum or such other ratio as prescribed by the CBN.
The apex bank said the action underscored its commitment to upholding financial stability and ensuring the public’s trust in the banking system.
