The Nigeria Deposit Insurance Corporation has called on citizens to remain cautious of deceptive investment plans and pyramid schemes, emphasizing that only money deposited in authorized banks is covered by deposit insurance.
The NDIC's Managing Director, Mr. Thompson Sunday, provided this assurance in Abuja on Thursday at the company's special event during the 20th Abuja International Trade Fair.
He was represented by the Director of the Performance Management Department, Mrs. Bimpe Akande.
Sunday stated that the company's responsibility was centered on protecting depositors and maintaining financial stability.
"I want to highlight the significance of Nigerians staying alert to Ponzi schemes and other deceptive investment platforms. Make sure your money is only kept in banks licensed by the Central Bank of Nigeria, all of which are protected by deposit insurance from the NDIC. This awareness is essential for safeguarding your hard-earned savings," he stated.
He observed that the NDIC has, over time, broadened its coverage to safeguard depositors in various banking institutions.
Depositors in Deposit Money Banks, Mobile Money Providers, and Non-Interest Banks are protected up to N5m, whereas those in Payment Service Banks, Microfinance Banks, and Primary Mortgage Banks are covered up to N2m.
As he stated, this coverage guarantees that almost all depositors are protected.
The head of the NDIC also highlighted recent instances where the organization moved quickly to safeguard depositors in collapsed banks.
He remembered the cancellation of Heritage Bank's license in June 2024, noting that insured depositors were quickly compensated, while clients with amounts exceeding N5m were receiving their remaining claims via liquidation dividends from assets that had been recovered.
For more than thirty years, the NDIC has been essential in protecting depositors' money, especially for those who are most at risk, and strengthening the financial system.
"Our main goals involve guaranteeing deposits in authorized banks, overseeing financial institutions, handling troubled banks, and ensuring an efficient resolution process when banks fail. We are committed to safeguarding Nigerian banks," he stated.
Sunday also encouraged attendees at the exhibition to visit the NDIC booth to gain more information on deposit insurance and ways to steer clear of dishonest service providers.
Previously, Emeka Obegolu, the President of the Abuja Chamber of Commerce and Industry, was represented by the Director-General of the organization, Agabaidu Jideani, who commended the NDIC for its efforts in protecting the financial system.
Obegolu mentioned that the company's involvement had contributed to enhancing stability and safeguarding local enterprises.
He praised the NDIC for expanding deposit insurance to include not only traditional deposit money banks but also microfinance institutions, mortgage banks, non-interest banks, payment service banks, and mobile money operators.
He stated that this move has established a more supportive atmosphere for business owners and small and medium enterprises to engage actively in the economic landscape.
The PUNCH recently stated that the Securities and Exchange Commission has expressed concern about a rise in investment frauds employing artificial intelligence to trick Nigerians with promises of assured profits and fabricated celebrity endorsements.
The committee stated that the operators have been utilizing deepfake videos and other artificial intelligence-created material to make deceptive schemes look genuine.
It also cautioned that altered videos featuring politicians, celebrities, and television hosts are being shared through Facebook advertisements, Instagram reels, and Telegram groups to create fake endorsements and testimonials.
Nevertheless, the SEC stated that it is implementing sophisticated monitoring systems able to identify deceptive practices instantly in response to the increasing risk.
Provided by SyndiGate Media Inc. (Syndigate.info).
Posting Komentar