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Miriam Olusanya’s ‘incompetence’ Is Crumbling GTBank



Miriam Olusanya’s ‘incompetence’ Is Crumbling GTBank

Miriam Olusanya’s ‘incompetence’ crumbling GTBank, customers dump bank, shareholders blame Segun Agbaje…


Naijanewsngr reports that since Miriam Olusanya assumed the contentious position of Managing Director of Guaranty Trust Bank Ltd (GTBank Ltd) in July 2021, the once-dominant bank has continued to spiral into crises and financial losses, losing customers and shareholders in the process.


It is rather frustrating that despite the naira shortage problem, the bank has continued to put Nigerians who trusted them with their money through subpar services and fraud through further problems.


It is important to highlight that GTBank has enjoyed patronage not only due to its historically respectable numbers, but also due to its outstanding service orientation and purposeful specialized market positioning. As a result, GTBank Plc had consistently shown that it was better than its competitors in the banking sector. The bank has previously maintained its position as the banking stock with the highest valuation.


For instance, GT Bank’s shares increased by 21.06 percent from N29.20 per share on January 2, 2020, to N35.35 per share on November 20, 2020, despite the market’s persistent volatility. When compared to N34.657 billion in 2008, its profit before tax increased by 587.636% to N234.095 billion by 2020. The entire asset increased by 437.174% from N920.493 billion in 2008 to N4.944 trillion in 2020 at the same time, or in parallel. Moreover, its net interest income increased by 503.999% during the course of the same 12-year period, from N50.311 billion in 2008 to N253.668 billion in 2020.


Several businesses attempted to replicate their operations after GTBank as a result of its successes. Its compact nature seemed to have borne fruit. Some people think that the bank’s managerial approach even caused jealousy among its competitors. Every time the banks were compared, the reasoning tended to favor GTBank more.


Over time, this genuinely mystified the company’s operations and brand identity. As a result, leading business schools including Harvard Business School and Cranfield Management School conducted extensive research on the potency and distinctiveness of the GTBank brand.


The bank worked relentlessly to set the bar for other financial institutions in Nigeria starting in the early 1990s in terms of service quality, product functionality, and superior customer care.


Ironically, Naijanewsngr has learned from a number of publications that all these things have altered about the GTBank brand since Miriam Olusanya recently assumed the position of the bank’s CEO. The story has since turned nasty, sour, irritating, and nose-diving.


It was learned that Miriam Olusanya’s claimed 23 years of banking experience have, however, been called into question due to the bank’s deteriorating financial situation, confirming the concerns of shareholders and the business community who had expressed concern over the forceful installation and appointment of Olusanya by Segun Agbaje, the bank’s most recent CEO and the current group chief executive officer of GTBank’s parent company, Guaranty Trust Holding Company Plc (GTCo).


The decision by Agbaje to select Olusanya over the array/forays of more qualified hands in the bank has been criticized by shareholders. Olusanya has less administrative experience and expertise. They had also raised concern about Miriam’s ability to run a large organization like GTBank while dealing with a failing marriage.


Recall how a boardroom crisis broke out at GTBank after Segun Agbaje fired three capable executive directors and six general managers as part of a reorganization plan to make room for his nominee, Olusanya. Agbaje is alleged to have supported Olusanya, who is thought to be a close friend of his, above the other bank directors who were the most qualified.


Olusanya, who was then in head of the bank’s Wholesale Banking Division, had been informed by reliable sources and shareholders that she lacked the necessary experience and technical expertise to manage the institution.


Olusanya was reportedly older than the three executive directors and general managers who were compelled to retire by the Agbaje.


Yet in the year and eight months that Olusanya has been in charge, the bank has begun to feel the pressure from investors and industry observers. This is due to the bank’s ongoing inability to recover from crises, which have cost billions of naira while driving away consumers due to subpar services.


According to insiders who spoke to BUSINESS LIVE, the GTCo board is starting to lose faith in Olusanya’s leadership and ability as a result of her failure to improve the bank’s fortunes.


Olusanya, who is divorced but still responds to her ex-name, husband’s has been unable to produce.


The problems at GTBank began as soon as Olusanya assumed control in July 2021. For the third quarter of 2021 (months after Olusanya took leadership), the bank reported a profit before tax of N151.91 billion, a 9.23% decrease from N167.35 billion in the corresponding period of 2020.


According to GTCo, their revenue fell by 3.46 percent to N214.77 billion in Q3 2021 from N222.47 billion in the same period of 2020.


Its reported unaudited financial results for the third quarter of 2021 revealed that its earnings per share decreased as well, from N5.02 to N4.54.


Several bank depositors have started emptying their accounts.


The bank’s once-active digital platforms are now somewhat lifeless.


The bank’s “GTWorld” internet banking app and its “*737# Smart Code” Unstructured Supplementary Service Data (USSD) banking platform aren’t exactly shining stars, since users continue to have issues using the services. It has been frustrating for the bank’s clients.


Some shareholders of the bank who spoke to BUSINESS LIVE on the condition of anonymity, however, blamed Segun Agbaje for the bank’s woes for appointing Olusanya. They called on the board to sack Olusanya immediately and bring in a more competent hand to save the bank from imminent collapse.


Oyinade Adegite, GTBank’s head of Corporate Communications did not respond to our inquiries as at press time.


Several angry bank customers have resorted to Twitter to bemoan the terrible burden GTBank has placed upon them. See Posts Below:




Guaranty Trust HoldCo Proposes N500bn Share Offering




Guaranty Trust HoldCo Proposes N500bn Share Offering

Guaranty Trust HoldCo Proposes N500bn Share Offering

Guaranty Trust Holding Company (GTCO) Plc, said it has filed a preliminary ‘red herring’ prospectus with the Securities and Exchange Commission (SEC) to raise N500 billion.

The Company in a notice said the number of ordinary shares to be offered and the price range for the proposed offering have not yet been determined.
The notice said “this is issued in reliance on Rule 283 of the Rules & Regulations of SEC, Nigeria. The notice read in part, this does not constitute an offer to sell or the solicitation of an offer to buy any securities.

“Any offer, solicitation or offer to buy, or any sale of securities will be made only by a prospectus duly registered by the Securities and Exchange Commission, Nigeria (SEC) in accordance with the provisions of the Investments and Securities Act, No. 29, 2007 (the Act) and the rules and regulations of the SEC made pursuant to the Act (the SEC Rules).”

Stating the purpose of the proposed offering, the notice further said that, “the net proceeds of the proposed offering will be used for the growth and expansion of the GTCO Group’s businesses. Such planned growth and expansion will be effected through investments in technology infrastructure to fortify existing operations, the establishment of new subsidiaries and selective acquisitions of non-banking businesses; and the recapitalisation of Guaranty Trust Bank Limited.”

It added that “the proposed offering is structured as an institutional offering targeted at eligible investors and a retail offering within Nigeria and a private placing to persons reasonably believed to be qualified institutional buyers outside Nigeria (the international tranche).”

It noted that the proposed offering is anticipated to open by July, 2024, adding that the filing of the red herring prospectus was undertaken with a concurrent filing of a preliminary universal shelf registration statement.

“The universal shelf registration will permit GTCO to establish a multi-currency securities issuance programme (the Programme) to issue various types of securities, or any combination of such securities, in one or more offerings, from time to time, to raise proceeds in an aggregate amount of up to $750 million or equivalent amount in Nigerian naira) in the Nigerian/international capital markets during the validity period of the Programme.”

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Wema Bank concludes 1st tranche of capital raise programme




Wema Bank concludes 1st tranche of capital raise programme

Wema Bank concludes 1st tranche of capital raise programme


Wema Bank, Nigeria’s foremost innovative bank and pioneer of Africa’s first fully digital bank, ALAT, has successfully concluded the first tranche of its recapitalisation exercise having secured all relevant regulatory approvals for the allotment of its N40bn Rights Issue which was initiated in December 2023.

In view of macroeconomic conditions, the Central Bank of Nigeria (CBN) in March 2024, launched a recapitalisation programme requiring commercial banks to raise fresh capital in alignment with the minimum requirement for their respective banking licenses, within a 24-month timeline spanning April 1, 2024, to March 31, 2026.

The goal of this recapitalisation programme is to simultaneously boost the Nigerian economy and strengthen the Nigerian financial services industry.

As a forward-thinking and pioneering bank, Wema Bank in December 2023 launched a N40bn Rights issue which has now been approved by the Central Bank of Nigeria and the Securities and Exchange Commission (SEC). With this remarkable development, Wema Bank has now successfully raised N40bn of the N200bn minimum requirement laid down by the CBN.

In a statement made to the public by the Bank, Moruf Oseni, Wema Bank’s Managing Director and CEO, iterated the Bank’s resolve in retaining its Commercial Banking license with National Authorisation, adding that the N40bn Rights Issue is a step in that direction.

“We are delighted to announce the conclusion of the 1st tranche of our Capital Raise Programme, after obtaining the relevant approvals of all regulatory authorities. Our move to commence our Capital Raise Programme very early demonstrates our push for excellence and with a strong emphasis on our digital play, we are set to amass more successes in the coming months.”

“We were impressed by the vote of confidence given by our shareholders during the 1st Rights Issue exercise as our shares were fully subscribed. In addition, we obtained the approval of shareholders at our 2023 Annual General Meeting (AGM) to raise an additional N150billion to meet the capitalisation threshold set by the CBN. The process is expected to be completed within 12-18 months. We are committed to providing optimum returns for every stakeholder and the successful conclusion of this N40bn Rights Issue is a bold step in the right direction.”

In addition to the upward trend in the Bank’s financial performance and the success recorded so far in its recapitalisation exercise, Wema Bank’s corporate rating was recently upgraded to BBB+ by Pan African credit rating agency, Agusto and Co, and retained at BBB by international rating agency, Fitch.

Over the medium to long term, Wema Bank is positioned to dominate not only the digital Banking space but also the Nigerian financial services industry at large as it translates its industry leadership to significant market share.

Wema Bank is a leading financial services entity with banking operations across Nigeria, its leadership position in the digital banking space speaks to its aspirations to liberate Nigerian businesses and entrepreneurs by making digital platforms widely available.

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Zenith Bank confirms Sirika’s daughter owns a company linked to N1.4 billion Aviation contract




Zenith Bank confirms Sirika’s daughter owns a company linked to N1.4 billion Aviation contract

Zenith Bank confirms Sirika’s daughter owns a company linked to N1.4 billion Aviation contract

A compliance officer from Zenith Bank Plc, Mishelia Arhyel, told the Federal Capital Territory High Court Abuja on Tuesday that former Minister of Aviation, Hadi Sirika’s daughter, Fatima, and son-in-law, Jalal Hamma, owned Al-Buraq Global Investment Ltd, a company the Economic and Financial Crimes Commission (EFCC) indicted in an aviation fraud suit.

Arhyel testified as EFCC’s second witness in the fraud-related charges instituted against Hadi Sirika and his daughter, Fatima, son-in-law, Jalal Hamma, and Al-Buraq Investment Ltd.

The defendants had been arraigned before Justice Sylvanus Oriji of the FCT High Court.

EFCC’s Case
The EFCC had indicted Hadi Sirika, in an alleged contract fraud involving his daughter and son-in-law as well as fraudulent practices associated with the Nigeria Air debacle.

Sirika was accused of allegedly using his position to unfairly benefit Tianaero Nigeria Limited and Al Buraq Global Investment Ltd; companies allegedly associated with his associate, daughter, and son-in-law.

He was said to have influenced the award of contracts for the Nigerian Air project and the Apron Extension at Katsina Airport to these companies.

The EFCC alleges that N1.4 billion was approved to Al-Buraq for the Apron Extension contract at Katsina Airport.

The defendants are accused of breach of trust and misuse of public office to the tune of over N2 billion naira in contravention of the Corrupt Practices and Other Related Offences Act and the Penal Code Act.

But they all pleaded not guilty to the charges paving the way for the commencement of trial.

What transpired in court
Led in evidence by EFCC lead counsel, Rotimi Jacobs (SAN), Arhyel, said his role as a compliance officer involves receiving correspondence from law enforcement agencies on behalf of Zenith Bank and forwarding the same to appropriate authorities as well as responding to inquiries.

He confirmed that sometime in February 2023, the bank received a letter from EFCC making inquiries regarding accounts statements on Al-Buraq, Jalal Hama and Fatima.

The prosecution counsel then tendered the bank statements of the defendants and it was admitted by the court unopposed by the defense legal team.

Speaking to the documents, Arhyel told Justice Oriji that Al-Buraq was registered on June 17, 2021, and the directors are Hamal Jalal, Sirika Fatima Hadi and Shinade Saratu.

According to the witness, the ex-minister’s daughter and in-law have significant control over Al-Buraq.

“Sirika Fatima Hadi is the secretary of the company.

“Persons in significant control of the company are Hamal Jalal and Sirika Fatima Hadi.

“The signatories are Saratu Muhammad, Fatima Hadi Sirika, and Jalal Hamal,” the witness told the court corroborating EFCC’s allegations.

Earlier in the proceedings, Azubuike Okorie, a former Special Assistant to the ex-Aviation Minister, Projects(2022-2023) said it was the frustration posed by the Nigerian Air Force and the Federal Airports Authority of Nigeria (FAAN) that prevented the execution of the Kastina Airport extension contract.

Under cross-examination by the defense team led by Kanu Agabi (SAN), Okorie said the contract went through due process and had nothing to do with the competence and honesty of the contractor.

The witness claimed the relationship between Sirika, his family members and associates was not a factor considered in the contract awarded to Al-Buraq.

The court subsequently adjourned the trial to June 20, 2024.

The EFCC had said its operatives arrested Abubakar Ahmad Sirika, the brother of Hadi Sirika, over an alleged contract fraud in the aviation ministry.

Abubakar was picked up by the anti-graft agency on Sunday, February 4, following an investigation in the Ministry of Aviation and Aerospace Development.

During his tenure as minister, Sirika faced allegations including conspiracy, abuse of office, diversion of public funds, contract inflation, criminal breach of trust, and money laundering totalling N8,069,176,864.

The commission had revealed that the funds in dispute related to four aviation contracts awarded by the former minister to a company called Engirios Nigeria Limited, which is owned by his younger brother.

The EFCC is empowered by law to track financial crimes.

Every accused person remains innocent until found guilty by a competent court.

Sirika served as aviation minister from 22 August 2019 to 29 May 2023.

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