- Report reaching us indicates that the Consumer Protection Council weekend summoned the management of First City Monument Bank Plc to answer queries over an allegation by the Bauchi State Government, accusing the bank of charging N1.86billion excess interest on its account.
- In a statement by the CPC yesterday said the Bauchi State Government sent the petition to the Council after the Central Bank of Nigeria declined further adjudication on the case through a letter dated July 15, 2015 to the petitioner, asking it to “seek alternative means of redress as the case is hereby deemed closed.”
- The statement, signed by Abiodun Obimuyiwa, Head, Media, CPC, said the CPC waded into the lingering disagreement between the bank and its consumer with a letter, dated August 20, 2015, requesting the bank to respond to the allegations contained in the complaint within seven days.
- As at the time of issuing a statement on the allegation, the bank had not responded to the letter.
The statement said: “The state government had alleged that the bank, without any prior information, charged 21 per cent interest rate per annum on two loans of N10 billion and N3 billion, which the bank granted it on January 22, 2009 and June 15, 2011 respectively both at the rate of 13 per cent interest per annum, and that this has resulted in excess interest charges on its account, amounting to the sum of N1,864,188,594.78 as at February 2014.”