Tunde Sanni
8 September 2008
Ibadan — Majority shareholder in Wema Bank, Odu'a Investment Company, has lauded the recent intervention of the Central Bank of Nigeria (CBN) in the leadership crisis rocking the bank.
The conglomerate, in a statement signed by its Media Relations Manager, Victor Ayetoro, said CBN's action was in the best interest of the bank, as it would lead it back to the path of credibility.
According to the conglomerate, the apex bank's quick intervention had further reinforced the confidence of stakeholders in the financial sector of the economy that the regulatory authority is capable of ensuring that banks are run professionally in line with the Banks and Other Financial Institutions Act (BOFIA).
The statement praised the outgoing acting Managing Director, Prince John Aboh, for the courageous and brilliant ways he had steered the ship of the bank while the crisis lasted.
Odu'a observed that the former bank chief's efforts at raising the profile of the bank was commendable and wished the erstwhile helmsman God's guidance and blessing in his future endeavours.
The conglomerate urged the new Managing Director, Mr. Layi Alabi, and his team to work hard with the aim of restoring stakeholders' in particular, customers' and depositors' confidence in the bank.
"It is the prayer of all stakeholders that his tenure will witness appreciable transformation that will move the bank to a greater height," the conglomerate stated.
The conglomerate therefore solicited other stakeholders' maximum support for the new management team so as to jointly move the bank forward.
It appealed for renewed confidence of both existing and prospective customers in the bank and assured them that Wema Bank would discharge its duties in line with CBN's directives.
CBN Governor Chukwuma Soludo had last Thursday removed the Group Managing Director of Wema Bank Plc, Mr. Adebisi Omoyeni, who was recently recalled to office.
Soludo had named Alabi the new Managing Director.
In a statement signed by Soludo, he had said Omoyeni was removed because of the need to ensure good corporate governance in the management of the bank and the need to protect the interest of its depositors and shareholders.
The CBN governor had justified his action with Section 32 of BOFIA of 1991, which deals with the appointment and removal of bank directors.
Soludo had said the apex bank had, in exercise of the powers conferred on it by Section 32 of BOFIA, ordered an examination of the bank, which had since been concluded.
He had said the CBN was satisfied that Wema faced challenges in the circumstances described under Section 32 of BOFIA and it was in the interest of the public to ensure good corporate governance in the management of the bank.
He had also announced the appointment of Mrs. Christy Okoye, a former Executive Director in First Bank of Nigeria Plc and Mr. Iliya Dauda Rapu Ndirapa as directors to complement the existing members of the board.
Omoyeni had Thursday been arrested by the police for forcefully taking over without obtaining clearance from the CBN, which sent him on compulsory leave last January. Omoyeni was, among other allegations, said to have granted N450 million housing loan to himself; not following due process in the award of contracts as well as engaging in the controversial sale of Odu'a shares in the bank.
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