The Apex bank had, consequently reconstituted the Board of Directors of both the bank and its parent company, First Bank holdings plc, sacked some members believed to have links or adherence to owners of Honeywell.
The Central Bank of Nigeria (CBN) had directed Honeywell to fully refund its obligations to First Bank within 48 hours, warning that failure to do so will prompt it to take a necessary regulatory measure against the insider borrower, Mr. Oba Otudeko and the bank.
Contrary to the narratives, The Honeywell Group, a major corporate stakeholder in First Bank of Nigeria has said its loan from the bank is serviced within regulatory prescriptions.
The facilities were charged at market rates and the Bank continues to earn significant interest therefrom.
The company also explained that since 1972, the Group and First Bank had a professional business relationship that preceded the group’s investment in the bank over a decade later.
It stated that it subsequently entered negotiations with the bank to agree on an appropriate repayment structure and the final negotiated position was duly approved by the CBN.
During the statement, the Group also said its loan debt to the bank had been reduced by 30per cent in the last two and half years.
By our Reporter.