CBN Revokes Operational licenses of Aso Savings and Loans Plc and Union Homes Savings and Loans Plc
[12/16, 5:14 PM] Oru Leonard Oru: Make news ..Central Bank of Nigeria
Press Release
Revocation of the Operational Licenses of Aso Savings and Loans Plc
and Union Homes Savings and Loans Plc
As part of its efforts to re-position the mortgage sub-sector and promote a culture of
compliance with relevant laws and regulations, the Central Bank of Nigeria, in exercise of the
powers conferred on it under Section 12 of BOFIA 2020, and Section 7.3 of the Revised
Guidelines for Mortgage Banks in Nigeria has revoked the licenses of Aso Savings and
Loans Plc and Union Homes Savings and Loans Plc.
The affected institutions had violated various Sections of BOFIA 2020 and the Revised
Guidelines for Mortgage Banks in Nigeria, including:
(a) Failure to meet the minimum paid-up share capital requirement for the category
of the bank licence granted to them by the CBN.
(b) Having insufficient assets to meet their liabilities;
(c) Being critically undercapitalised with a capital adequacy ratio below the
prudential minimum ratio as prescribed by the CBN; and
(d) Failure to comply with several directives and obligations imposed upon them
by the CBN.
The CBN remains committed to its core mandate of ensuring financial system stability.
Hakama Sidi Ali (Mrs.)
Ag. Director, Corporate Communications Department
December 16, 2025
The Central Bank of Nigeria (CBN) has revoked the operational licenses of Aso Savings and Loans Plc and Union Homes Savings and Loans Plc, effective immediately.
According a statement made available to News Dot Africa by the Ag Director Corporate Communications Department, Mrs. Hakama Sidi Ali on December 16, 2025, the decision was made in accordance with Section 12 of the Banks and Other Financial Institutions Act (BOFIA) 2020 and Section 7.3 of the Revised Guidelines for Mortgage Banks in Nigeria.
The CBN cited several reasons for the revocation, including:
– Insufficient Capital: Failure to meet the minimum paid-up share capital requirement
– Asset Shortfall: Insufficient assets to meet liabilities
– Undercapitalization: Critically undercapitalized with a capital adequacy ratio below the prudential minimum
– Non-Compliance: Failure to comply with CBN directives and obligations
The Nigeria Deposit Insurance Corporation (NDIC), has been appointed as the liquidator and will commence payment of insured deposits to customers, up to a maximum of ₦2 million per depositor. Depositors with balances exceeding ₦2 million will receive the insured portion, with outstanding balances settled as liquidation dividends.
The CBN has emphasized its commitment to ensuring financial system stability and protecting depositors’ interests.
