‘We acted in best interest of First Bank’ – Awosika reacts to her sack by CBN

Ibukun Awosika: speaks on service as the chairman of First Bank of Nigeria’s Board

 

Ibukun Awosika, the first woman to chair the board of Nigeria’s oldest financial institution, First Bank, on Saturday broke her silence on the sack of her board by the Central Bank of Nigeria, CBN.

“As a board, we acted in what we clearly believed to be in the best interest of the bank and we had great plans and aspirations for where the bank could go to in its future, building on all the work that has already been done in the last five plus years,” Awosika said in her first reaction to the clean out of members of her board from First Bank by the CBN In the post titled: “My FBN Group Journey,” she published on her Instagram page.

Awosika and others were sacked by the CBN on Thursday, a day after her Board announced the appointment of Gbenga Shobo as the bank’s CEO, in replacement of Adesola Adeduntan.

Adeduntan was sacked despite the fact that he has eight months to go as the CEO of First Bank and allegedly without the usual consultation with the CBN.

Consequently, the CBN Governor Godwin Emefiele had queried members of  the Board on his replacement.

On Thursday, the apex bank ordered the reinstatement of Adedutan while it sacked all members of the Board of the Bank headed by Awosika.

The CBN said the move was to preserve the “the stability of the bank, so as to protect minority shareholders and depositors”.

The apex bank also revealed that the Board members had embarked on taking insider loans and have failed to divest from their investment in non-financial entities.

“The CBN’s recent target examination as at December 31, 2020 revealed that insider loans were materially non-compliant with restructuring terms (e.g. non-perfection of lien on shares/collateral arrangements) for over 3 years despite several regulatory reminders.

But in the Instagram post, Awosika insisted that the sack of  Adeduntan as managing director of First Bank was taken in the best interest of the institution.

She also narrated her work with different entities within the First Bank Group and defended her five years’ service at First Bank of Nigeria.

“For over five years , I have worked with a dedicated team of board and management , with the support of Central Bank of Nigeria to rebuild and restructure the institution for its future. This included cleaning up non performing loans, establishing good operational governance systems and processes, building controls and an effective and robust risk management system,” she said.

Read her full post on the Instagram page below

In October 2010, I was appointed to join the board of First bank of Nigeria.

A few months later, I was appointed to chair the board of its start up FBN Life Insurance Limited (a joint venture with Sanlam of South Africa). As its pioneer chairman, I had the privilege of working with a strong management team led by Val Ojumah.

Together with the rest of our team we built a company that became profitable in twenty four months and continues to be so.

In early 2013, I was moved from FBN Life Insurance Ltd, to assume the chairmanship of FBN Capital working with a brilliant team led by Kayode Akinkugbe as the Managing Director.

We worked hard to build the institution, bought Kakawa Discount House which I was again asked by the Group to Chair. We eventually merged the companies to create the FBN quest Merchant Bank Group, which I chaired until my appointment as Chairman of First Bank of Nigeria on January 1st 2016.

For over five years , I have worked with a dedicated team of board and management , with the support of Central Bank of Nigeria to rebuild and restructure the institution for its future. This included cleaning up non performing loans, establishing good operational governance systems and processes, building controls and an effective and robust risk management system.

I am confident we have brought First Bank of Nigeria to a place where it is more than able to deliver utmost value to its stakeholders and the nation at large.

As a board, we acted in what we clearly believed to be in the best interest of the bank and we had great plans and aspirations for where the bank could go to in its future, building on all the work that has already been done in the last five plus years.

Without a shadow of doubt, I will unequivocally state that I have always acted in honor and integrity with the utmost interest of the institution, all our stakeholders and the Nation.

Thank you.

 

Ibukun Awosika

 

View Comments (1)

  • So first bank is basically a tribal property No wonder then things are the way they are .