The Central Bank of Nigeria (CBN) has said it will review the court ruling involving Union Bank of Nigeria Plc, while maintaining that the bank remains stable and fully operational.
This was disclosed in a press statement issued on Wednesday by the Acting Director of Corporate Communications, Hakama Sidi Ali.
According to the apex bank, the judgment was delivered by the Federal High Court in Lagos on March 25, 2026, in relation to its regulatory action on Union Bank in January 2024.
What CBN is saying
- The statement read, “The Central Bank of Nigeria (CBN) acknowledges the judgment delivered on Wednesday, March 25, 2026, by the Federal High Court in Lagos concerning its regulatory action on Union Bank of Nigeria Plc (UBN) in January 2024.”
- The bank added that it is taking steps to properly examine the ruling before deciding its next course of action.
- “The Bank is currently obtaining the Certified True Copy of the judgment and will review it carefully, reaffirming its unwavering commitment to the rule of law,” it stated.
CBN reassures on Union Bank’s stability
Despite the legal development, the CBN stressed that there is no change to Union Bank’s operational status, signalling an effort to calm potential market concerns.
- It stated, “The CBN assures the public that UBN’s status is unchanged and that it remains fully capable of meeting its obligations to customers, depositors, and all stakeholders.”
The apex bank further reiterated its role as regulator, noting that oversight of the financial system remains intact.
- “As the apex regulatory authority, the CBN remains committed to acting in accordance with its mandate and established legal processes,” the statement added.
It also emphasised that it would “continue to provide the necessary regulatory oversight to ensure Union Bank operates in a safe, sound, and stable manner, while maintaining public confidence in the financial system.”
What you should know
Nairametrics previously reported that the CBN had, in 2024, officially dissolved the boards and management of three prominent banks, Union Bank, Keystone Bank, and Polaris Bank, linking the move to alleged non-compliance with critical regulatory provisions.
- Justice Chukwujekwu Aneke nullified the CBN’s action in a judgment on Wednesday, following a suit commenced by the bank’s core shareholders, Titan Trust, Luxis International, and Magna International.
- In its landmark judgment, the court held that the apex bank acted beyond its powers when it sacked the board and management of Union Bank of Nigeria in January 2024, TheCable reports.
- Justice Chukwujekwu Aneke quashed all decisions and steps taken by the CBN-appointed board and ordered that the former board and management be restored.
- The court also restrained the CBN, its appointed board, and their agents from taking any steps towards recapitalisation or any related actions.
The response from the CBN suggests a deliberate attempt to prevent uncertainty around Union Bank from spilling into broader financial system risks.
By affirming that the bank remains stable and capable of meeting obligations, the regulator is signalling continuity in banking operations despite ongoing legal review.
