Following the Central Bank of Nigeria’s (CBN) decision to revoke the license of Skye Bank Plc, shareholders of the bank yesterday blamed the former directors of the banks on the current predicaments, urging the apex bank to reconsider its stance and avoid loss of investment as Nigerian investors have been subjected to untold hardship following persistent take over of banks by the CBN.
According to the shareholders, while retail investors were still grappling with the loss of investment, occasioned by the global financial crisis, they were faced with the dilemma arising from the sale of the three nationalised banks, Keystone, Mainstreet and Enterprise Banks. The shareholders of the banks have found themselves in dilemma as they have lost their investments estimated at N83 billion.
Investigations show that one of the reasons why retail investors had shown apathy to the Nigerian stock market since the meltdown in 2009 was because of the issue of nationalised banks. Founder of Noble Shareholders Association, Gbadebo Olatokunbo said, “These are the things discouraging local investors. CBN should hold the directors of the bank responsible; they should not allow shareholders suffer the way they did when the other three banks were nationalised. I wonder what will be the fate of shareholders. It is a big disappointment; I am just going through my holdings to know how much I have there. The directors of the bank must be made to pay for this.”
Publicity Secretary of the Independence Shareholders Association, Moses Igbrude said the impact on local investors would be very severe. “I blame the former management, when they bought Afribank, we told them that it would generate problems. Shareholders have lost their investment unless CBN reconsiders to appoint new board for the bank.”
Meanwhile, the share price of Skye bank on Friday gained 4.05 percent at 77 kobo. The stock would be placed on suspension from Monday in accordance with procedures.