Senate summons Emefiele, bank MDs over outrageous charges

The Senate, on Tuesday, instructed its standing committee on Banking to invite the Governor of the Central Bank of Nigeria (CBN), Godwin Emefiele, managing directors of commercial banks, forensic auditors and Bankers Committee, with a view to harmonising and amending relevant banking laws, rules and guidelines that do not adequately protect the customers and give them substantial remedy when overcharged.

The Senate panel has also been instructed to conduct a public hearing and investigate the CBN and commercial banks’ operational charges, with a view to finding an enduring solution and report back to the Senate for further legislative action.

These resolutions, followed the consideration of a motion, tagged “Urgent need to investigate, Regularise and Amend Conflicting, Vague and unjust remedies which the Central Bank of Nigeria offers to victims of Excess and Arbitrary Bank Charges and Illegal Deductions by Commercial Banks.”

The motion was sponsored by Senator Magnus Ngei Abe and 22 others. Abe, in his lead debate, said over the years, commercial banks in Nigeria have indulged in sharp practices of over charging customers/depositors arbitrarily and excessively contrary to tariff stipulations, credit and monetary guidelines issued from time to time by the CBN.

He said: “If this trend is allowed to continue unabated, Nigerians will be worse of for it, while the commercial banks will continue to declare huge profits at the expense of innocent Nigerians from regular depositors to business firms.”

Deputy Senate Minority Leader, Emmanuel Bwacha, in his contribution, said stopping the arbitrary charges will go a long way in giving credibility to the fight against corruption.

Read also: SUBSIDY: Saraki writes off NNPC, says corporation stinks of corruption

“If we do not fight this, we will just doing eye service to the fight against corruption. These sharp practices going on in commercial banks must stop. We need to act fast in the interest of Nigerians. This motion deserves more than a resolution,” he said.

Dino Melaye, while speaking on the motion, accused banks of intentionally withholding monies of dead people, by refusing to contact their next of kins.

He said: “Illegal deductions from banks are happening everyday. These small illegal deductions and arbitrary hidden charges happen everyday. We need to have a public hearing, where Nigerians and experts can come and speak on the issue. Because of secrecy, many next of kins do not know that they are next in line for any inheritance.

“Banks intentionally do not contact these next of kins to withdraw their money. We need to pass a law to ensure that banks contact next of kins when original owners of bank accounts die. A deeper investigation must be conducted.”

By Ehisuan Odia….

 

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