Obinna Chima
8 December 2011
The Nigeria Deposit Insurance Corporation (NDIC) Wednesday handed over the assets and liabilities of Hallmark Homes (Savings & Loans) Limited to Centage Savings and Loans Limited.
The Managing Director and Chief Executive Officer, NDIC, Mr. Umaru Ibrahim, said the event would allow the 1,630 depositors of Hallmark Homes verify their deposits worth N752 million with the new ownership.
Ibrahim, who performed the handing over ceremony in Lagos, said the occasion marked a milestone in the commitment of the corporation to its mandate of protecting depositors as well as contributing to the stability of the financial system.
Hallmark Homes was a wholly owned subsidiary of Hallmark Bank Plc (in liquidation). The firm was established in 1995 as Quintessential Savings & Loans Limited. It changed its name to Hallmark Savings and Loans in 2001 after its acquisition by Hallmark Bank Plc (in liquidation). It also commenced operations as Primary Mortgage Institution (PMI) in 2001.
The NDIC boss explained that the inability of Hallmark Bank Plc met the 2005 recapitalisation hurdle by the Central Bank of Nigeria (CBN) had led to its revocation and the NDIC was subsequently appointed by the Federal High Court as the liquidator.
Ibrahim said a total of N1.15 billion was realised from the sale of assets of Hallmark Savings, which would be used to settle depositors of the acquired firm.
He said that the corporation acted based on its role as a risk minimiser with broader mandate that included deposit guarantee, banking supervision, distress resolution and banking liquidation.
“I am delighted to handover the Hallmark Homes Limited to Centage Savings and Loans Limited as a going concern,” he said.
The Managing Director, Centage Savings and Loans Limited, Johnson Ndukwe, said the firm was committed to ensuring that the acquired returns to profitability
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