Wema bank

[Michael]

Originally Posted by olusolakemmy

THE TWO ARE NOT RELATED

NOY BY A MILE

[billions]

Home Investor Investor Protection of share value, reason for Wema Bank’s suspension
Protection of share value, reason for Wema Bank’s suspension
Thursday, 23 October 2008 00:14 ABDUL IMOYO
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The technical suspension which was placed on the share price of Wema Bank plc was necessitated by the need to protect the value of the shares and allow for unhindered discussion between the board of the bank and a potential local and foreign core investor.
Ndi Okereke-Onyiuke, director general of the Nigerian Stock Exchange (NSE) last Friday announced a new technical suspension on the bank on the Lagos floor even as she confirmed that the suspension was not at all a punitive measure following the recent occurrences in the bank. The bank’s share price was suspended at N14.43 per unit.
Business Day learnt that one of the reasons the suspension was placed was that Wema Bank is seeking to have a core investor to come into the bank. Another reason is for the interim board of the bank to organise and put its house in order in the area of providing necessary information to the market as regards the bank’s financial results which has not been released for sometime now.
Besides, it was gathered that one other reason the board of the bank applied for the suspension, was to avoid a hostile takeover of the bank by some interested parties. Also, there are strong indications that a foreign investor is planning to come in as core investor in the bank, therefore the need for the technical suspension in order to check the issue of price of the bank’s shares and to enable a good bargain.
A market source disclosed that the technical suspension would be of advantage to the bank, if a reasonable price is retained; thus, the reason the suspension.
“It is to the advantage of Wema Bank if they return to technical suspension until the core investor comes in because the higher the price, the better for the bank in its negotiation process. Again, the core investor would have to pay at the current market price, “but if allowed to the market forces, the price of shares would have gone down; before this core investor comes in,” said the source.
Okereke-Onyiuke had noted that the technical suspension on Wema was based on a resolution by the Council of the NSE after the board of directors (BOD) of the bank applied for a technical suspension.
The technical suspension happened just three days after an initial suspension that was placed on the bank was lifted. Although the stock had fallen from a high of N15.00 to N14.43 due to the current meltdown in the Nigerian stock market.

[citizen]

Another N32bn fraud rocks Wema Bank
…Indian arrested, 5 bank officials at large
By Sun News Publishing
Friday, November 7, 2008


Photo: Sun News Publishing
More Stories on This Section

Wema Bank is in the news again, and for the wrong reason. The bank is again enmeshed in another sleaze running into N32 billion. The Economic and Financial Crime Commission (EFCC) has arrested an Indian national for allegedly fleecing the bank of the princely sum.

The influential businessman identified as Mr. Patrick Fernadez who is being held at the anti-graft agency’s facility in the nation’s capital, Abuja was said to have relieved the bank of the sums over a period of time through what EFCC source described as “cheque kicking and swapping.”

Cheque kicking and swapping is a technical term which refer to a method whereby a customers is allowed to withdraw money against an uncleared lodgement.
In the case of Fernadez, he was believed to have paid in cheques, draw against it only for the cheque to bounce when presented for clearance.
He is believed to have perpetrated the nefarious act with the active connivance of insiders of the financial institution.

He is said to have made useful statement to his interrogators.
Meanwhile, the EFCC has launched a manhunt for at least five top officials of the bank for their alleged involvement in the shady deal.
“At least, five officials of the bank are on the wanted list of EFCC. They are at large. The agency has stretched out its dragnet. They can only run, but cannot hide,” a source said yesterday.
Mr. Fernadez will be arraigned in court today.

[hispy99]

Originally Posted by citizen

Another N32bn fraud rocks Wema Bank
…Indian arrested, 5 bank officials at large
By Sun News Publishing
Friday, November 7, 2008


Photo: Sun News Publishing
More Stories on This Section

Wema Bank is in the news again, and for the wrong reason. The bank is again enmeshed in another sleaze running into N32 billion. The Economic and Financial Crime Commission (EFCC) has arrested an Indian national for allegedly fleecing the bank of the princely sum.

The influential businessman identified as Mr. Patrick Fernadez who is being held at the anti-graft agency’s facility in the nation’s capital, Abuja was said to have relieved the bank of the sums over a period of time through what EFCC source described as “cheque kicking and swapping.”

Cheque kicking and swapping is a technical term which refer to a method whereby a customers is allowed to withdraw money against an uncleared lodgement.
In the case of Fernadez, he was believed to have paid in cheques, draw against it only for the cheque to bounce when presented for clearance.
He is believed to have perpetrated the nefarious act with the active connivance of insiders of the financial institution.

He is said to have made useful statement to his interrogators.
Meanwhile, the EFCC has launched a manhunt for at least five top officials of the bank for their alleged involvement in the shady deal.
“At least, five officials of the bank are on the wanted list of EFCC. They are at large. The agency has stretched out its dragnet. They can only run, but cannot hide,” a source said yesterday.
Mr. Fernadez will be arraigned in court today.

This can't be true...where did WEMA see N32B to give just one customer? What is their shareholders' funds sef? If this is true....

[prince dagbolu]

Originally Posted by hispy99

This can't be true...where did WEMA see N32B to give just one customer? What is their shareholders' funds sef? If this is true....

If this is true. Those Nigerians who helped this Indian man should be hanged. Nigerians are dying due to poverty daily and an Indian man can come to Nigeria to carry out fraud like this. Can he do that in India?

[Michael]

Originally Posted by citizen

Another N32bn fraud rocks Wema Bank
…Indian arrested, 5 bank officials at large
By Sun News Publishing
Friday, November 7, 2008


Photo: Sun News Publishing
More Stories on This Section

Wema Bank is in the news again, and for the wrong reason. The bank is again enmeshed in another sleaze running into N32 billion. The Economic and Financial Crime Commission (EFCC) has arrested an Indian national for allegedly fleecing the bank of the princely sum.

The influential businessman identified as Mr. Patrick Fernadez who is being held at the anti-graft agency’s facility in the nation’s capital, Abuja was said to have relieved the bank of the sums over a period of time through what EFCC source described as “cheque kicking and swapping.”

Cheque kicking and swapping is a technical term which refer to a method whereby a customers is allowed to withdraw money against an uncleared lodgement.
In the case of Fernadez, he was believed to have paid in cheques, draw against it only for the cheque to bounce when presented for clearance.
He is believed to have perpetrated the nefarious act with the active connivance of insiders of the financial institution.

He is said to have made useful statement to his interrogators.
Meanwhile, the EFCC has launched a manhunt for at least five top officials of the bank for their alleged involvement in the shady deal.
“At least, five officials of the bank are on the wanted list of EFCC. They are at large. The agency has stretched out its dragnet. They can only run, but cannot hide,” a source said yesterday.
Mr. Fernadez will be arraigned in court today.

I hope they Find them because Contrary to the agencies view "They can both run and hide" . Obviously they are now playing Hide and Seek with the EFCC. But I cannot imagine any Nigerian Bank, no matter how bad it is run giving loans of N32Bn to one Individual. In fact if this allegation is proven to be correct, the entire board should be replaced and the bank sold off to another, or their License revoked and depositors funds be returned to them.

[Gengen]

When will there be good news about Wema?
Who are the "supposed" buyers interested in acquiring the bank which officially led to freezing its price?
Trade in Wema shares have been very poor despite news about acquisition.
Many want to sell, but no buyers. Na wa O!

[hispy99]

Originally Posted by citizen

Another N32bn fraud rocks Wema Bank
…Indian arrested, 5 bank officials at large
By Sun News Publishing
Friday, November 7, 2008

Wema Bank is in the news again, and for the wrong reason. The bank is again enmeshed in another sleaze running into N32 billion. The Economic and Financial Crime Commission (EFCC) has arrested an Indian national for allegedly fleecing the bank of the princely sum.

The influential businessman identified as Mr. Patrick Fernadez who is being held at the anti-graft agency’s facility in the nation’s capital, Abuja was said to have relieved the bank of the sums over a period of time through what EFCC source described as “cheque kicking and swapping.”

Cheque kicking and swapping is a technical term which refer to a method whereby a customers is allowed to withdraw money against an uncleared lodgement.
In the case of Fernadez, he was believed to have paid in cheques, draw against it only for the cheque to bounce when presented for clearance.
He is believed to have perpetrated the nefarious act with the active connivance of insiders of the financial institution.

He is said to have made useful statement to his interrogators.
Meanwhile, the EFCC has launched a manhunt for at least five top officials of the bank for their alleged involvement in the shady deal.
“At least, five officials of the bank are on the wanted list of EFCC. They are at large. The agency has stretched out its dragnet. They can only run, but cannot hide,” a source said yesterday.
Mr. Fernadez will be arraigned in court today.

This story is true..only that it is not only one bank

Indian Docked For Allegedly Duping Nigerian Banks Of N32B
By Ibe Uwaleke

A Federal High Court, Lagos has directed that a Nigeria based Indian businessman, Patrick Fernandez be further remanded in custody of the Economic and Financial Crimes Commission (EFCC) for his alleged involvement in defrauding some Nigerian banks to the tune of N32billion.

The court's directive was sequel to his arraignment, with three others, on a 56-count charge of engaging in fraudulent transactions and money laundering. He is to remain in custody till November 14, this year when his bail application would be argued.

Mr. Fernandez who was arrested in Abuja earlier this week was arraigned with three firms - Joseann Global Resources Limited, Pet Prime Impex Limited and Pet Ferns Nigeria Limited -with which he allegedly committed the crime.

It was noted in the charge that the accused "fraudulently" presented 38 cheques in the affected banks within two days, January 22 and 23, 2008. He was accused of "fraudulently" presenting 21 cheques covering about N8billion to the said banks on January 22, 2008 alone. On January 23, 2008, he allegedly presented another set of 17 cheques covering N6.5billion to the affected banks.

Count 56 alleged that the businessman, his said companies and one John Ogidi (still at large) between November 2007 and February 2008 "did conspire to commit an offence to wit: laundering of N32billion through cheque kitting, suppression, swap or round tripping".

Their alleged offences, according to the charge, are punishable under section 1(2) (a) of the Miscellaneous Offences Act Cap M17 of the Federation of Nigeria 2004 and Section 14(1) of the Money laundering (prohibition) Act 2004.

Prior to the arraignment, lead prosecution lawyer, Mr Rotimi Jacobs informed the court that his client, the EFCC had filed a 56 count-charge against the accused and requested that they be arraigned, a request which the defence lawyer, Mr Obinna Okoli accepted.

The Accused pleaded not guilty to all counts of the charge.

After the arraignment, prosecution lawyer asked that a date be chosen for the commencement of trial in view of the accused plea of not guilty. He also urged the court to remand the accused in either EFCC or prison custody.

Defence lawyer later made an oral application for bail, which Mr. Jacobs objected to, and asked the court to direct the defence to file bail application before their request for bail could be entertained.

In his ruling, Presiding Judge, Justice Ahmed Mohammed held that there were no materials before the court to support the bail application. He directed the accused lawyer to file a written application for bail and adjourned the matter till November 14

[moneymoney]

I heard some info on a local TV show that Wema is coming out with PO....any truth in this?

[tonidol]

Originally Posted by moneymoney

I heard some info on a local TV show that Wema is coming out with PO....any truth in this?

Not heard anything of such but they are on their own (OYO) if they try that at the moment. They better put their house in order first and restore Investors confidence.

[mosbe]

Originally Posted by moneymoney

I heard some info on a local TV show that Wema is coming out with PO....any truth in this?

Na only Wema be d bank wey dey Naija? Wit all d persecution wey dem dey pass thru since consolidation. The least thing i'd expect them to do is coming out wit PO at this time dat the mkt is very bearish. It dont make sense to me.

[hispy99]

Wema Bank to increase capital base soon, says boss
From Iyabo Lawal, Ibadan

AS part of efforts to meet the challenges of the competitive banking industry, the management of Wema Bank Plc, yesterday announced plans to raise its capital base.

This, according to the acting managing director of the bank, Mahmoud Lai Alabi, who spoke with reporters in Ogbomoso at the commissioning of the bank's new branch in the city, will enable the financial institution to be continuously relevant in the dynamic, increasing and competitive banking environment.

Pointing out that Wema Bank is in a growth phase, Alabi disclosed that the organisation has commenced the review of its entire structure to make it relevant in the present dispensation.

He said: "Wema Bank is now in a growth phase, in the sense that we are reviewing our entire structure. This is in terms of enhancing our human resources, in both the number and quality, raising our Information Technology (IT) platform and our capital base so that we can be relevant in the dynamic, increasing competitive banking environment.

"We are adequately capitalised as we are but we want to shore up our capital base to further enhance our services."

Giving assurance of quality service, Alabi said: "The bank would reach out to the traders, educational institutions, local governments with special products that are targeted at these categories of people. It is our intention not to sit down in our offices but to go to them and introduce the products already designed for them".

"We shall continue to be a bank of the people both for the rich and the poor. We give them that assurance," he stated.

According to him, the bank's "customers remain the reason for the bank's existence and one of our core objectives is to continue to provide quality and prompt customer services to support their efforts as they initiate new businesses and implement growth strategies.

The acting chairman of the bank, Mr. Festus Ajani, in his address at the ceremony, said that "as an organization with a commercial orientation operating in a competitive environment, we are aware that the bank's success depends on the ability to provide excellent services to our customers".

Ajani thanked Governor Adebayo Alao-Akala for providing assistance to the bank, adding that his support had constituted the motivation that had propelled the board, management and staff to greater achievements.

While commissioning the new branch, the governor, who was represented by the Commissioner for Finance, Chief Bayo Bankole, said the move will further assist in boosting the state economic growth and reduce poverty.

He, however, reminded the management of the bank of its corporate social responsibility to the people of the state.

In his goodwill message, the Soun of Ogbomoso, Oba Jimoh Oyewumi, called on the management of the bank to ensure that it gave consideration to the indigenes of the town in the recruitment of staff, adding that this would further solidify the cordial relationship between the bank and the people.

[moneymoney]

Originally Posted by hispy99

Wema Bank to increase capital base soon, says boss
From Iyabo Lawal, Ibadan

AS part of efforts to meet the challenges of the competitive banking industry, the management of Wema Bank Plc, yesterday announced plans to raise its capital base.

This, according to the acting managing director of the bank, Mahmoud Lai Alabi, who spoke with reporters in Ogbomoso at the commissioning of the bank's new branch in the city, will enable the financial institution to be continuously relevant in the dynamic, increasing and competitive banking environment.

Pointing out that Wema Bank is in a growth phase, Alabi disclosed that the organisation has commenced the review of its entire structure to make it relevant in the present dispensation.

He said: "Wema Bank is now in a growth phase, in the sense that we are reviewing our entire structure. This is in terms of enhancing our human resources, in both the number and quality, raising our Information Technology (IT) platform and our capital base so that we can be relevant in the dynamic, increasing competitive banking environment.

"We are adequately capitalised as we are but we want to shore up our capital base to further enhance our services."

...nuff said...but what does this mean for those of us unfortunate enough to be investors with this coy. We tot the soap had reached its penultimate episode only for the "villian to stage a come back". We may be forced to buy up our rights so that we don't become overdiluted....na wah for NSE and SEC o...if they allow this to gothrough!!!

[Gengen]

Originally Posted by hispy99

Wema Bank to increase capital base soon, says boss

AS part of efforts to meet the challenges of the competitive banking industry, the management of Wema Bank Plc, yesterday announced plans to raise its capital base......

Could this be another method for Acquisition? They can do a Public Offer that does not have much public interest right now and get it hugely underwritten by (or have preferential allotment to) the intersted party. The PO will at an agreed price between the key parties - Wema management and those interested in acquiring the bank.

This can also be by rights issue with interested parties, currently having some shares, picking up what would be rejected by many.

Is this possible by CBN/NSE laws? I do not know.