Confirmed,,, check breaking News here on this link:   http://punchng.com/

Afterall when the Africa Report or so came out earlier this year, these banks were all among and where the first to cry out, the CBN has all the powers to sack them and I think it is a welcome development to protect we shareholders from irresponsible CEO's

Very interesting.

tkb417:

my friend, nothin is going to happen
It seems you dont know who Sanusi is.

The man has always been a top dawg from his FBN days. What influence can Akingbola and Cecilia wield in 9ja that Sanusi cannot counter.
Thts a big up to the self styled risk man!

im doffin ma hat already. hes the best man for that position.

Sanusi is a professional not all these agbero/political bankers we have around

TKB417, this is why I respect you are one of the most objective and informed landers we have here.
I said something close to this sometime ago and people almost crucify me: https://www.nairaland.com/nigeria?topic=302810.msg4277569#msg4277569

Sanusi is a thoroughbred professional and I never doubted his ability. It's a pity many Nigerians look at everything from ethno-religious perspective.
This guy means business.

@Tkb419

I ve been in the shrine ooooooo,  worrying with my Thesis .
I will PM u latter in the day!!!
Take care

Jarus:

I opened NL to break this news. It is true o!!!

Sanusi fired a major salvo.

Akingbola gone, Cecilia fired, Nwosu sacked, Adigwe and Ebong shown the exit door. Jim Ovia fired warning.

This is confirmed. No link yet. But I'm very sure. Top finance executives here have confirmed it.

This is serious. Sanusi is stepping on toes.

Cecilia, the amazon of Nigerian banking!!! Akingbola, CIBN president and NSE Vice President!!!

The battle line is drawn. Let's keep our fingers crossed.

My guy nothing is gonna happen. This is exactly why Yar'adua brought Sanusi in. Whta the heck can Akingbola or Cecilia do to him. These guys are a failure. And i don't trust Sanusi himself. I will begin to build a trust in him when he forces Nigerian banks to start respecting their customers and be transparent. I was informed that Sanusi was very baffled when he saw the audit that he ordered. Jim Ovia will probably be next. Let's wait and see but i think Sanusi will soon merge these banks with some other banks or sell them to foreign investors. I was also informed that he dislikes the unworthy pay of bank executives and bank workers.

CBN has injected N400bn into the banks. \


CBN Sacks Five Bank CEOs, Injects N400b
• Akingbola forewarns directors of pending sack


The Central Bank of Nigeria has moved to inject N400 billion into five banks in the country following the decision to remove the CEOs and executive directors of the affected banks. The affected institutions are Intercontinental Bank Plc, Union Bank of Nigeria Plc, Oceanic International Bank Plc, Finbank Plc and Afribank Plc.
The CEOs that have been sacked by the CBN are Erastus Akingbola (Intercontinental Bank); Okey Nwosu (Finbank); Sebastian Adigwe (Afribank); Mrs Cecelia Ibru (Oceanic Bank); and Bartholomew Ebong (Union Bank).
But in a pre-emptive move, Erastus Akingbola, MD/CEO of Intercontinental Bank who got wind of his impending removal called his executive directors to inform them of their certain sack by the CBN.
Akingbola was said to have rushed to Ota yesterday to elicit the support of former President Olusegun Obasanjo to intervene on his behalf and call President Umaru Yar’Adua to stop the CBN from carrying out the sack.
However, the CBN governor, Sanusi Lamido Sanusi, who made this decision known this morning at the Emergency Bankers’ Committee convened by the CBN in Lagos, explained exclusively to THISDAY that the decision was being taken to safeguard the financial sector from systemic collapse.
He said following the audit exercise conducted by CBN’s examiners it was discovered that five of the banks had accumulated margin loans of N500 billion, among other loans, that had gone bad and eroded their shareholders’ funds.
“Some of these banks are quite large institutions and they have been mismanaged, so we had to move in to send a strong signal that such recklessness on the part of bank executives will no longer be tolerated.”
He said the CBN had obtained the approval of the President to inject N400 billion into the affected banks to shore up their tier 2 capital to minimum acceptable levels.
Sanusi added that the funds being injected by the CBN was just temporary and does not translate to the government taking a stake in the five banks, as the interim management will be given a period to recapitalise the affected institutions, following which the N400 billion will be paid back to the CBN.
On how the CBN will prevent a run on the banks and create panic in the economy, Sanusi said the CBN intends to make it clear that the money being injected by the reserve bank as well as the decision to guarantee interbank placement should allay depositors’ concerns.
The CBN, he stated, stands ready to ensure that no bank collapses in the country, but will encourage them to seek for funds to raise fresh capital and merge with stronger banks.
He said an interim management and board for the affected banks will be put in place to run the institutions until they are taken over by new management teams and owners.

http://www.thisdayonline.com/nview.php?id=151586

.

abhosts:

CEOs of the following Nigeria banks have just been axed by CBN.

The news will soon be made public at close of meeting currently being held in Lagos today with all the CEOs and Chairmen in attendance.

(This is from reliable source and surely by evening it would be awash in all evening newspapers)

They are - Intercontinental bank Plc, Zenith bank Plc, UBA Plc, Oceanic bank Plc and Wema bank Plc

Likewise, further policy amendments and pronouncements will follow in the course of the new week.

na wa oo

N400B!! Wow, it shows these banks are actually more broke than i thought. They must have hit the bottom. I believe this is the second bail out intercontinental is getting. I foresee another round of mergers soon.

mehn, no be small thang!

So, Soludo must have known this all along and kept quiet.

Sanusi, thank you jare.

this is very shocking! must confess! used to think those guys were untouchable! guess not!

Don't tell me this is true!

Justify with reliable source plsssssssssss!!!!!!!!!!!!!!!!!!!!

, a clear state of bewilderment 4 staff and customers if confirmed true.

Finecat:

My guy nothing is gonna happen. This is exactly why Yar'adua brought Sanusi in. Whta the heck can Akingbola or Cecilia do to him. These guys are a failure. And i don't trust Sanusi himself. I will begin to build a trust in him when he forces Nigerian banks to start respecting their customers and be transparent. I was informed that Sanusi was very baffled when he saw the audit that he ordered. Jim Ovia will probably be next. Let's wait and see but i think Sanusi will soon merge these banks with some other banks or sell them to foreign investors. I was also informed that he dislikes the unworthy pay of bank executives and bank workers.

Finecat, i dunno why i like to disagree with you
In as much as i cannot say that CBN cannot force the merger of banks because of the recent happenings, but it will take a monumental effort and planning b4 that happens in the new dispensation.
We cannot totally rule out buy outs and other mechanisms but i think its hasty to say CBN can sell dem to foreign investors.
Have they all been declared insolvent and illiquid? if NO, then why would they be sold?
na kulikuli u wan sell abi na CBN get the banks?

it is about time, some of them are cooks not bankers. They have been cooking their books to declare profit.

The intercontinental man was going about the place sponsoring redeemed holy ghost night instead of facing his business; hope EFCC arrests all of them.

CBN Sacks Five Bank CEOs, Injects N400b
• Akingbola forewarns directors of pending sack
By Ijeoma Nwogwugwu, 08.14.2009
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The Central Bank of Nigeria has moved to inject N400 billion into five banks in the country following the decision to remove the CEOs and executive directors of the affected banks. The affected institutions are Intercontinental Bank Plc, Union Bank of Nigeria Plc, Oceanic International Bank Plc, Finbank Plc and Afribank Plc.
The CEOs that have been sacked by the CBN are Erastus Akingbola (Intercontinental Bank); Okey Nwosu (Finbank); Sebastian Adigwe (Afribank); Mrs Cecelia Ibru (Oceanic Bank); and Bartholomew Ebong (Union Bank).
But in a pre-emptive move, Erastus Akingbola, MD/CEO of Intercontinental Bank who got wind of his impending removal called his executive directors to inform them of their certain sack by the CBN.
Akingbola was said to have rushed to Ota yesterday to elicit the support of former President Olusegun Obasanjo to intervene on his behalf and call President Umaru Yar’Adua to stop the CBN from carrying out the sack.
However, the CBN governor, Sanusi Lamido Sanusi, who made this decision known this morning at the Emergency Bankers’ Committee convened by the CBN in Lagos, explained exclusively to THISDAY that the decision was being taken to safeguard the financial sector from systemic collapse.
He said following the audit exercise conducted by CBN’s examiners it was discovered that five of the banks had accumulated margin loans of N500 billion, among other loans, that had gone bad and eroded their shareholders’ funds.
“Some of these banks are quite large institutions and they have been mismanaged, so we had to move in to send a strong signal that such recklessness on the part of bank executives will no longer be tolerated.”
He said the CBN had obtained the approval of the President to inject N400 billion into the affected banks to shore up their tier 2 capital to minimum acceptable levels.
Sanusi added that the funds being injected by the CBN was just temporary and does not translate to the government taking a stake in the five banks, as the interim management will be given a period to recapitalise the affected institutions, following which the N400 billion will be paid back to the CBN.
On how the CBN will prevent a run on the banks and create panic in the economy, Sanusi said the CBN intends to make it clear that the money being injected by the reserve bank as well as the decision to guarantee interbank placement should allay depositors’ concerns.
The CBN, he stated, stands ready to ensure that no bank collapses in the country, but will encourage them to seek for funds to raise fresh capital and merge with stronger banks.
He said an interim management and board for the affected banks will be put in place to run the institutions until they are taken over by new management teams and owners.
For more details on the state of the five banks under the CBN hammer, get a copy of THISDAY, the Satuday Paper tomorrow

otokx:

The intercontinental man was going about the place sponsoring redeemed holy ghost night instead of facing his business; hope EFCC arrests all of them.

this is going to affect the stock market severly now

the small trust that came has evapourated

its really shocking ooo

tkb417:

Finecat, i dunno why i like to disagree with you
In as much as i cannot say that CBN cannot force the merger of banks because of the recent happenings, but it will take a monumental effort and planning b4 that happens in the new dispensation.
We cannot totally rule out buy outs and other mechanisms but i think its hasty to say CBN can sell dem to foreign investors.
Have they all been declared insolvent and illiquid? if NO, then why would they be sold?
na kulikuli u wan sell abi na CBN get the banks?

I don't blame you for opposing facts, you have a job to protect especially these days when jother obs are hard to come by. This is Naija version of liquidation, in the USA when a bank is ransacked by the fed or FDIC it means the bank is gone for good. Sanusi is realy tipping towards foreign investors. I really feel for the staffs of these banks becasue this is a moment of uncertainty. And trust me a lot of staff will be eased out of these banks.

Tmoni:

this is going to affect the stock market severly now

the small trust that came has evapourated

its really shocking ooo

Yeah, the prices will be lower. So buy buy and buy now.

And am waiting for the Tribalist to come out and say that it is Tribalistic and Selective, ala Ribadu

babalawo:

This appears to be the first step in a drastic plan to clean up Nigeria’s ailing banking industry.

The truth is that  the banking sector needs an ICU-intensive centre Unit-Surgery, its just the timing that is a big  problem for me.

This timiing wil  GRAVELY and definately affect innocent depositors,staffs and investors- Lets wait and see the extent this will go,  

Maybe so but this has to be done sooner rather than later. Sanusi is looking like the real deal. OBJ presided over a financially irresponsible period in our history that saw the rise of many profligate Banking Oligarchs who are only interested in making obscene money even if that endangered the sincerity and integrity of our banking and finance sector. The cull must begin now and it must be thorough and all-encompassing if Sanusi is to turn around the situation of 'elitist banking' we now have where a few become filthy rich while majority of Nigerians still derive no appreciable benefits from our financial sector.

My worry for Sanusi is that Yar Adua is friends with far too many people , with entrenched interests, who benefit from the mess in our nation. Sooner or later , Sanusi will step on the toes of an 'untouchable' individual and he may be removed before his work transforms our banking sector for the greater benefit of the average Nigerian. It may be no different to how Ribadu had to go when he messed with Yar Adua's buddy Ibori.

naijatoday:

CBN has injected N400bn into the banks. \


CBN Sacks Five Bank CEOs, Injects N400b
• Akingbola forewarns directors of pending sack


The Central Bank of Nigeria has moved to inject N400 billion into five banks in the country following the decision to remove the CEOs and executive directors of the affected banks. The affected institutions are Intercontinental Bank Plc, Union Bank of Nigeria Plc, Oceanic International Bank Plc, Finbank Plc and Afribank Plc.
The CEOs that have been sacked by the CBN are Erastus Akingbola (Intercontinental Bank); Okey Nwosu (Finbank); Sebastian Adigwe (Afribank); Mrs Cecelia Ibru (Oceanic Bank); and Bartholomew Ebong (Union Bank).
But in a pre-emptive move, Erastus Akingbola, MD/CEO of Intercontinental Bank who got wind of his impending removal called his executive directors to inform them of their certain sack by the CBN.
Akingbola was said to have rushed to Ota yesterday to elicit the support of former President Olusegun Obasanjo to intervene on his behalf and call President Umaru Yar’Adua to stop the CBN from carrying out the sack.
However, the CBN governor, Sanusi Lamido Sanusi, who made this decision known this morning at the Emergency Bankers’ Committee convened by the CBN in Lagos, explained exclusively to THISDAY that the decision was being taken to safeguard the financial sector from systemic collapse.
He said following the audit exercise conducted by CBN’s examiners it was discovered that five of the banks had accumulated margin loans of N500 billion, among other loans, that had gone bad and eroded their shareholders’ funds.
“Some of these banks are quite large institutions and they have been mismanaged, so we had to move in to send a strong signal that such recklessness on the part of bank executives will no longer be tolerated.”
He said the CBN had obtained the approval of the President to inject N400 billion into the affected banks to shore up their tier 2 capital to minimum acceptable levels.
Sanusi added that the funds being injected by the CBN was just temporary and does not translate to the government taking a stake in the five banks, as the interim management will be given a period to recapitalise the affected institutions, following which the N400 billion will be paid back to the CBN.
On how the CBN will prevent a run on the banks and create panic in the economy, Sanusi said the CBN intends to make it clear that the money being injected by the reserve bank as well as the decision to guarantee interbank placement should allay depositors’ concerns.
The CBN, he stated, stands ready to ensure that no bank collapses in the country, but will encourage them to seek for funds to raise fresh capital and merge with stronger banks.
He said an interim management and board for the affected banks will be put in place to run the institutions until they are taken over by new management teams and owners.

http://www.thisdayonline.com/nview.php?id=151586

Men  with this move 400b bail out- I forsee a real wahala here-now the federal government has really taken over.The obvious implications are:

1.There will be a technical suspension of the banks shares as from Monday-if not they turn to penny stocks

2. The move is to safeguard  depositors funds and there shouldnt be a real cause for panic withdrawals but i fear Nigerians,this already indicates a fear factor.

3.These banks will be managed hencefort by the CBN- they will apoint the the management  making sure that these banks doesnt eventualy fails. the primary objective of this management  is to prevent a systemic risk and not to enhance any share holder value- this supports my  earlier point (1) that a technical suspenion is inevitable- these banks will be run to just survive without any empahsis on making any profit.
The federal government  has bought a sustancial stake  and l dont want to  say at this time that these banks might be NATIONALIZED. the risk is high

4.Staffs will be affected.These banks cannot continue with the jumbo pay because of this bailout. I  am shy to call  the affected banks workers as federal government staffs but definatley our commonwealth, the 400b bailout CANNOT be used to pay salaries. i hate this as this is my primary
constituency
HARD TIMES MEN LETS TAKE HEED. there is more to come
Thank you.

@ TKB
Point of correction,Sanusi has not been a top dawg from his FBN days,rather he has been from his UBA days(corrected),have you forgotten of his numerous brushes with Elumelu and Chika,while he was at UBA,I posted something on the stock thread about how he had embarked upon asking Tony and co to provide for some billions purportedly extended to Adamac and co plus a lot of other things,if I can get the link I'll post it here.Even if Tony and Jim escaped this time around,I'm sure the sword of damocles is still hanging over their heads

Finally some level of sanity will be restored in the banking sector

Are we saying Soludo failed? This country never seizes to amaze me.

Have you even read the story before you made your trivial post? These banks gave out huge loans to individuals and corporate bodies that have defaulted in paying back thereby putting them on a very weak financial footing. So what does that have to do with akingbola’s personal financial undertakings?

otokx:

The intercontinental man was going about the place sponsoring redeemed holy ghost night instead of facing his business; hope EFCC arrests all of them.

@babalawo, i agree 100% with your analysis,

only Diamond bank gained today on d exchange (banking sector), maybe d news did not get to the brokers in time

Monday will be mayhem

As usual, it is the inocent public at the brunt of this again,

Sometimes, i really dnt blame Americans who stuff out life of sum people,

The Central Bank of Nigeria has moved to inject N400 billion into five banks in the country following the decision to remove the CEOs and executive directors of the affected banks. The affected institutions are Intercontinental Bank Plc, Union Bank of Nigeria Plc, Oceanic International Bank Plc, Finbank Plc and Afribank Plc.
The CEOs that have been sacked by the CBN are Erastus Akingbola (Intercontinental Bank); Okey Nwosu (Finbank); Sebastian Adigwe (Afribank); Mrs Cecelia Ibru (Oceanic Bank); and Bartholomew Ebong (Union Bank).
But in a pre-emptive move, Erastus Akingbola, MD/CEO of Intercontinental Bank who got wind of his impending removal called his executive directors to inform them of their certain sack by the CBN.
Akingbola was said to have rushed to Ota yesterday to elicit the support of former President Olusegun Obasanjo to intervene on his behalf and call President Umaru Yar’Adua to stop the CBN from carrying out the sack.
However, the CBN governor, Sanusi Lamido Sanusi, who made this decision known this morning at the Emergency Bankers’ Committee convened by the CBN in Lagos, explained exclusively to THISDAY that the decision was being taken to safeguard the financial sector from systemic collapse.
He said following the audit exercise conducted by CBN’s examiners it was discovered that five of the banks had accumulated margin loans of N500 billion, among other loans, that had gone bad and eroded their shareholders’ funds.
“Some of these banks are quite large institutions and they have been mismanaged, so we had to move in to send a strong signal that such recklessness on the part of bank executives will no longer be tolerated.”
He said the CBN had obtained the approval of the President to inject N400 billion into the affected banks to shore up their tier 2 capital to minimum acceptable levels.
Sanusi added that the funds being injected by the CBN was just temporary and does not translate to the government taking a stake in the five banks, as the interim management will be given a period to recapitalise the affected institutions, following which the N400 billion will be paid back to the CBN.
On how the CBN will prevent a run on the banks and create panic in the economy, Sanusi said the CBN intends to make it clear that the money being injected by the reserve bank as well as the decision to guarantee interbank placement should allay depositors’ concerns.
The CBN, he stated, stands ready to ensure that no bank collapses in the country, but will encourage them to seek for funds to raise fresh capital and merge with stronger banks.
He said an interim management and board for the affected banks will be put in place to run the institutions until they are taken over by new management teams and owners.
For more details on the state of the five banks under the CBN hammer, get a copy of THISDAY, the Satuday Paper tomorrow

http://www.thisdayonline.com/nview.php?id=151586