Group demands audited accounts, payment of outstanding funds to late founder’s estate
Financial Trust Group has accused the Nigeria Deposit Insurance Corporation (NDIC) of withholding liquidation surpluses and dividends allegedly owed to the estate of its late founder, William Olufemi Olateju Ajayi, for more than three decades.
The dispute concerns the liquidation of Financial Merchant Bank Limited in 1994 and Republic Bank Limited in 1995. The group is demanding that the NDIC provide audited accounts of the proceeds realised from the liquidation of both institutions and release any outstanding funds due to the founder’s estate.
In a statement, the group described the corporation’s alleged failure to account for and distribute the funds as a prolonged and unjustified refusal to meet its obligations.
Financial Trust Group maintained that residual assets should be distributed to shareholders and other eligible parties after depositors and creditors have been fully paid, citing what it described as statutory requirements governing the liquidation process.
“For over three decades, the NDIC has withheld funds rightfully belonging to the Ajayi family and associated legacy entities, despite statutory mandates requiring the distribution of residual assets to shareholders and contributories once depositors and creditors have been fully settled,” the group said.
It also alleged that the corporation had failed to provide a transparent, audited account of the assets realised from the two banks, despite reports which, according to the group, indicated that depositors and creditors had long been settled.
The group said the absence of a comprehensive account had raised concerns about the handling of the liquidation proceeds and the distribution of any remaining assets.
Group Links Dispute to Military-Era Policies
Financial Trust Group traced the dispute to the military administrations of Generals Ibrahim Babangida and Sani Abacha, alleging that policies and actions during the period significantly damaged Ajayi’s business interests.
The group described the late Ajayi as a pro-democracy advocate and publisher of The Republic, a newspaper that supported the presidential ambition of the late Chief Moshood Abiola under the Hope ’93 campaign.
According to the statement, Ajayi’s publications were repeatedly proscribed, while his business interests came under pressure before the operating licences of Financial Merchant Bank and Republic Bank were revoked in January 1994 and June 1995, respectively.
The group further alleged that the licence revocations occurred while proposals for the rescue and acquisition of the banks were being pursued.
It said the unresolved matter had continued to weigh on the Ajayi family and the legacy of the founder, despite the group’s longstanding involvement in Nigeria’s financial markets.
Company Marks 50 Years
Financial Trust Company Nigeria Limited, the group’s parent company, celebrated its 50th anniversary in May 2026.
Established in 1976, the company said it was the first indigenous stockbroking firm admitted as a dealing member of the Lagos Stock Exchange.
While acknowledging developments in Nigeria’s capital market and the Federal Government’s ambition to build a $1 trillion economy, the group said the unresolved liquidation dispute raised broader questions about transparency and accountability in the financial system.
It urged the NDIC management to provide a full account of the liquidation proceeds and settle all outstanding entitlements allegedly due to Ajayi’s estate.
“Financial Trust Group calls upon the management of the NDIC, under the Renewed Hope agenda of the Federal Government, to immediately uphold transparency, adhere to statutory obligations, and disburse all accumulated liquidation surpluses and dividends owed to the Estate of Late Otunba W.O.O. Ajayi without further delay,” the statement said.
The group added that resolving the matter would demonstrate accountability and recognise the contributions of indigenous entrepreneurs to the development of Nigeria’s financial sector.
The NDIC was reportedly unavailable for comment at the time the original report was filed.
