Former Chairperson of First Bank of Nigeria, Mrs Ibukun Awosika, has offered a rare insight into the institutional conflicts and ethical tensions that, she said, preceded the withdrawal of Heritage Bank’s operating licence.
Speaking at the Audacious Conference in Lagos, Awosika said public discourse surrounding the bank’s collapse failed to reflect the “real battles” within Nigeria’s financial system—struggles that, according to her, pitted integrity and responsible leadership against entrenched power interests.
She explained that Heritage Bank became exposed through cheque-clearing obligations tied to funds that were not immediately available. These exposures, she noted, were initially covered by guarantees from the Central Bank of Nigeria (CBN), which boards were permitted to rely on to safeguard systemic stability. However, Awosika said the guarantees were later withdrawn amid internal power struggles within the apex bank, leaving Heritage Bank critically vulnerable.
According to her, when the board became fully aware of the scale of the exposure, it demanded immediate corrective measures, warning that inaction would have grave consequences. She added that the board’s concerns extended to the responsibility of the managing director to protect the institution rather than align with external political pressures.
Awosika contrasted Heritage Bank’s experience with that of other institutions she described as systemically important, suggesting that some banks with significant clearing roles were shielded from similar regulatory outcomes. She described the episode as a reflection of how unequal power dynamics can influence regulatory decisions within complex financial systems.
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Beyond the institutional issues, Awosika reflected on the personal cost of refusing to “comply for comfort,” noting that principled leadership often comes with risks that extend beyond professional standing. “When you make those kinds of calls,” she said, “everything is at risk—including your life.”
She acknowledged that a less confrontational approach might have made her personal journey easier but maintained that leadership rooted in integrity requires difficult choices. Her remarks, she said, were intended as a reminder that true stewardship demands courage, even when the system appears hostile to dissent.
Awosika’s comments have since reignited conversations around corporate governance, regulatory independence, and the personal and institutional costs of ethical leadership in Nigeria’s financial sector.