The National Judicial Institute (NJI), in collaboration with the Nigeria Deposit Insurance Corporation, has intensified efforts to strengthen Nigeria’s financial dispute resolution framework through a high-level sensitisation seminar for Justices of the Court of Appeal.
The event, held in Lekki, Lagos, focused on enhancing judicial capacity in handling bank liquidation cases and improving depositor protection mechanisms within the financial system. The seminar was themed “Enhancing the Efficacy of Bank Liquidation and Depositors’ Protection.”
Speaking at the programme, the Administrator of the NJI, Babatunde Adejumo, emphasised the critical role of confidence in sustaining any banking system. He noted that the loss of depositor funds due to bank failures has far-reaching consequences, including reputational damage to the country and reduced investor trust.
Adejumo explained that the seminar was designed to deepen appellate judges’ understanding of both the legal and technical complexities associated with bank liquidation. He stressed that effective adjudication in financial disputes requires not only legal expertise but also a clear grasp of banking operations and depositor concerns.
He further highlighted the importance of continuous judicial education, noting that evolving financial regulations and industry challenges necessitate regular capacity-building initiatives. According to him, sustained collaboration between the NJI and the NDIC has consistently improved the quality of judicial decision-making in financial sector disputes.
Addressing public perceptions of the judiciary, Adejumo acknowledged that criticism often arises from limited understanding of judicial processes or dissatisfaction with case outcomes. He also pointed to heavy caseloads as a key factor contributing to delays in the justice system, while reaffirming that mechanisms exist to address misconduct among judicial officers.
In her keynote address, the President of the Court of Appeal, Monica Dongban-Mensem, commended the initiative as a valuable platform for enhancing judicial competence in financial matters. Represented by Ali Gumel, she noted that such collaborative engagements have become essential for equipping judges with the knowledge required to address increasingly complex financial disputes.
The Managing Director and Chief Executive Officer of the NDIC, Thompson Sunday, underscored the importance of timely and well-reasoned judicial decisions in ensuring effective bank liquidation processes. Represented by Emily Osuji, he explained that the corporation’s mandate—including deposit guarantees, banking supervision, distress resolution, and liquidation of failed banks—depends significantly on judicial clarity and consistency.
He noted that bank liquidation cases are often highly complex, involving issues such as asset recovery, creditor hierarchy, contractual disputes, and competing claims from multiple stakeholders. These challenges, he said, frequently lead to intricate legal proceedings that require specialised judicial understanding.
According to the NDIC, strengthening collaboration with the judiciary—particularly at the appellate level—is essential to reducing delays, minimising conflicting rulings, and reinforcing public confidence in the financial system.
The corporation also highlighted the alignment of its efforts with international best practices established by global bodies such as the Basel Committee on Banking Supervision and the International Association of Deposit Insurers, both of which emphasise the importance of strong legal frameworks supported by efficient and independent judicial systems.
The seminar forms part of ongoing efforts to ensure that Nigeria’s financial system remains resilient, transparent, and capable of protecting depositors while maintaining investor confidence in an increasingly complex banking environment.
