BoI blacklists 24 firms over loan defaults

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The management of the Bank of Industry (BoI) has blacklisted 24 companies which allegedly failed to repay loans granted to them.

Speaking at the inaugural inductees into BoI’s Hall of Fame, the Managing Director and Chief Executive Officer of the bank, Alhaji Rasheed Olaoluwa, stated that the ability of banks to repay the depositors was a function of their ability to collect the loans granted.
Olaoluwa alleged that the blacklisted companies were also involved in shady deals.
He said that BoI decided to “name and shame the bad customers” to help Nigerian banks to identify business people with no respect for integrity and purpose.
He alleged that the 24 companies cloned and falsified documents and diverted loans to non-profitable ventures with their names published on BOI’s website.
“In addition to naming these companies, we have also exposed their directors and shareholders in order to put leading institutions and credit bureaus on notice. Twenty-four companies have been identified, and they will experience the ignominy of belonging to our hall of shame.”
At the event, management of the Bank of Industry (BoI) honoured ten of its integrity customers who performed excellently.
According to him, “a level high of non-performing loans can impair the ability of a bank to meet its maturing deposit obligations, and this can lead to a run on the bank”.
He said BoI decided to introduce a scheme to honour some of its customers who have shown excellent performance by fully repaying the loans granted to the by the bank as and when due.
“Our board of directors has approved the establishment of a Hall of Fame into which exemplary and outstanding customers, big and small, shall be inducted.”
The honoured customers are Ammasco International Limited, Kano; Cement Company of Northern Nigeria (CCNN), Sokoto; Cobef International Limited, Port Harcourt, Rivers State; Happinex Foam Industries Limited, Benin, Edo State and Innoson Technical and Industrial Company Limited, Enugu.
Others are Nigerian Aluminum Extrusions Limited, Nigerian Foundries Limited, Lagos, Paul B Nigeria Limited, Enugu and Rumbu Sacks Nigeria Limited, Kano.
Olaoluwa explained that the companies obtained long term credit facilities from BoI at least twice and they fully repaid the loans as at when due.