By Ayomide Otitoju
Investigations into the operations of Union Bank of Nigeria have revealed widespread financial misconduct by its former directors and owners, resulting in billions of dollars in losses and threatening the bank’s stability.
According to investigators, the former leadership concealed over ₦250 billion in losses, improperly added a $300 million foreign loan to the bank’s books, and misused depositors’ funds, including using the bank’s own money to buy its shares.
Further findings indicate that more than $100 million was withdrawn improperly, loans intended for customers were diverted into unauthorized transactions, and false reports were sent to lenders. By 2025, these actions had created nearly ₦400 billion in losses and over ₦147 billion in unpaid charges, pushing the bank to the brink of collapse.
The Central Bank of Nigeria intervened to stabilise the institution, preventing wider systemic fallout. Analysts note that the bank’s current recovery reflects reforms implemented after the CBN’s intervention rather than actions of the previous directors.
The probe highlights the scale of exploitation that occurred under the former leadership and underscores the importance of regulatory oversight in safeguarding depositors and maintaining financial stability.
