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FAILED BANKS LIQUIDATION ACTIVITIES OF THE NIGERIAN DEPOSIT INSURANCE CORPORATION (NDIC) AN EMPIRICAL ANALYSIS

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FAILED BANKS LIQUIDATION ACTIVITIES OF THE NIGERIAN DEPOSIT INSURANCE CORPORATION (NDIC) AN EMPIRICAL ANALYSIS

ABSTRACT
The aims of this paper is to appraise the Nigerian Deposit Insurance Corporation (NDIC) liquidation activities in failed banks, claims settlement; amount and number of depositors so far paid; reason behind the abandonment of deposits by some depositors; level of liquidation proceeds realized and how it has been managed fairness of bad debt litigation disposition and the adequacy of the insurance deposit.

To achieve the above objective I relied on questionnaire, personal interviews and visit to the site; for primary data; from past literature, journals and dailies for the secondary data. The statistical tools used in the analysis are the simple percentages, tables, pie charts and bar charts.

The study revealed the following”

1.                 NDIC has been delaying in settling both the inured and the uninsured depositors, the delay was found to be attributed to:

a.                 The inadequate preparation by the NDIC in both human and material resources.



b.                 The inability of the depositors to put forward their claim on time for verification.

2.                 Rigorous claim filing process adopted by NDIC, lack of proper awareness on the side of depositor were found to be chief reason for the abandonment of claims by depositors.

3.                 A sizeable amount has been realized from sale of fixed assets, not much from debt recovery.

4.                 The amount realized has not been managed to the interest of depositors, as some amount were not accounted for, while a huge sum was written off as expense.

TABLE OF CONTENTS

Cover page

Title page

Dedication

Acknowledgement

Table of content

List of tables

CHAPTER ONE

1.0            Introduction

1.1     Background of the study

1.2            Statement of the problem

1.3            Objective of the study

1.4            Research questions

1.5            Significance of the study

1.6            Scope of the study

1.7            Limitations of the study

1.8            Definition of terms

References

CHAPTER TWO

2.0            Literature review

2.1     Overview of bankruptcy and liquidation of firms

2.2            Liquidation of firms in bankruptcy

2.3            Origin or banking distress in Nigeria

2.4            Causes of banking distress in Nigeria



2.5            Implication of bank distress in the Nigeria economy

2.6            Historical preview of NDIC and its role in the banking industry

2.7            Functions of the NDIC

2.8            Controversial issues surrounding NDIC operation

2.9            Empirical distress resolution options

2.10       Comparative analysis of bank distress resolution options

in selected countries of the major continents

2.11       The legal frame work of bank liquidation

2.12       Liquidation activities in failed banks

CHAPTER THREE

3.0            Research methodology

3.1     Sources of data

3.2            Design of questionnaire

3.3            Sample procedure and determination of sample size

3.4            Techniques of data analysis

CHAPTER FOUR

4.0            Data presentation, analysis and interpretation

4.1     Overview

4.2            Presentation of data

4.3            Primary data analysis

4.4            Test of hypothesis

4.5            Interpretation of results

CHAPTER FIVE

5.0            Findings

5.1     Discussion of findings

5.2            Conclusion

5.3            Recommendation

Bibliography

Appendices

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