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Tag: Mortgage bank

  • FHA Mortgage Bank to bridge housing gap with N27b loans

    FHA Mortgage Bank to bridge housing gap with N27b loans

    The Federal Housing Authority (FHA) Mortgage Bank said it has secured over N27 billion in housing loans for 3,427 Nigerians through the National Housing Fund (NHF) scheme, describing the milestone as a major step toward bridging the country’s wide housing finance gap.

    The bank further disclosed that in addition to the NHF window, more than 6,000 Nigerians have accessed mortgages through the Pension Commission’s Retirement Savings Account (RSA) window in just two years since the initiative was introduced, underscoring its growing role in unlocking affordable homeownership.

    The disclosures were made at the commissioning of the bank’s newly built head office complex in Gwarinpa, Abuja. The event marked a new phase in the bank’s expansion drive and was attended by stakeholders in housing finance, top government officials, and representatives of the banking and construction industries.

    Chairman of the bank’s Board and Managing Director of the Federal Housing Authority (FHA), Hon. Oyetunde Oladimeji Ojo, commended the leadership of the FHA Mortgage Bank for what he described as “resilience, dedication and a practical commitment to delivering housing finance solutions to Nigerians.”

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    Ojo said the commissioning of the new headquarters is not just an infrastructural upgrade but also a signal of the bank’s readiness to compete nationally. He revealed that one of his top priorities for the institution is to secure a national commercial banking licence to broaden access to housing finance for millions of Nigerians still outside the formal mortgage system.

    “We are determined to see this bank evolve into a truly national player in mortgage and housing finance. That is why we are pursuing the commercial banking licence as a legacy project — to give more Nigerians the opportunity to access affordable housing finance,” he said.

    The Managing Director of FHA Mortgage Bank, Dr Hayatudeen Awwal, described the N27 billion loan approvals as a “milestone achievement” in the bank’s mission to deliver affordable housing finance to ordinary Nigerians. He noted that the approvals are already changing lives by enabling thousands of contributors to the NHF to become homeowners across the country.

    “Through the NHF window, we secured approvals worth N27 billion on behalf of 3,427 eligible Nigerians to own homes nationwide. In addition, through the PENCOM RSA window, we facilitated access to mortgages for well over 6,000 Nigerians within just 24 months of its commencement,” Awwal stated.

    He stressed that the achievement demonstrates the bank’s growing capacity to serve the country’s massive housing needs, particularly among middle-income earners, civil servants, and young professionals, who he said form the backbone of Nigeria’s housing demand but often face the steepest barriers in accessing long-term mortgage finance.

    Awwal said the bank’s progress reflects its close collaboration with the Federal Mortgage Bank of Nigeria (FMBN) and other stakeholders in the housing finance ecosystem.

    He added that the FHA Mortgage Bank has also been instrumental in delivering residential units in states such as Delta, Kano, Kaduna, Ogun and others, through partnerships with the Family Homes Funds and private developers.

    The bank chief revealed that work is already underway to transform the FHA Mortgage Bank into a full-fledged national commercial bank, which would allow it to offer a wider range of products and services to a broader spectrum of Nigerians. According to him, discussions with the Central Bank of Nigeria (CBN) on the licensing process have commenced.

    As part of its growth strategy, Awwal said the bank plans to open at least 20 new branches across the country within the next two years, increase its loan portfolio to N100 billion, and grow its active customer base to over 100,000 families.

    He added that the new head office complex in Abuja represents more than a physical expansion; it reflects the bank’s ambition to become a key driver of Nigeria’s housing finance market and a credible partner to federal and state governments, as well as private developers.

    Stakeholders at the commissioning event noted that the bank’s recent achievements highlight the importance of robust institutional frameworks for affordable housing delivery.

    They observed that Nigeria’s housing deficit, estimated at over 20 million units, can only be addressed through sustained efforts to widen access to affordable mortgage products, reduce financing costs, and expand the reach of housing finance to underserved communities.

  • TrustBond Mortgage Bank posts profit

    TrustBond Mortgage Bank has reported an impressive outing in 2017, its Managing Director, Mr. Adeniyi Akinlusi has said.

    He said to  overcome the prevailing economic headwinds, the bank put far reaching measures to reduce  costs and boost revenue with business restructuring and adoption of a new approach.

    He spoke at the bank’s annual general meeting (AGM)  in Lagos at the weekend.

    He said: “Our reforms resulted in the reduction of cost to income ratio to 0.64 in 2017 from 0.89 in 2016 despite the high inflationary environment in 2017.

    “The bank recorded total assets of N13, 593 billion in December 2017 representing nine per cent increase over the previous year’s figure of N12, 416 billion an increase in total Risk Asset of 32 per cent.

    “During the year share reconstruction was undertaken which reduced the company’s accumulated loss to N886 million in the balance sheet to N2, 177 billion.”

  • Delta approves sale of residential quarters to workers

    The Delta Government has approved the sale of Junior and Middle Management Staff Quarters, Asaba, to the civil servants currently occupying them owner occupier basis.

    The state Commissioner for Information, Mr Patrick Ukah, disclosed this in a statement he signed and made available to the newsmen in Asaba on Thursday.

    Ukah said under the new arrangement, occupiers of one-bedroom apartments in the quarters would pay N800, 000 each while those living in two-bedroom apartments would pay N1.6 million each to own them.

    He said that modalities for the payments would be worked out through the Delta Trust Mortgage Bank.

    The commissioner said that approval had been given for the release of funds for the payment of bursaries to students of the state origin in tertiary institutions across the country.

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    Uka who however did not state the amount involved said the fund to be released would be for 2016/2017 Students’ Special Assistance Scheme.

    He also said that government approved the award of contract for the completion of the second phase of the outstanding work at the Stephen Keshi Stadium, Asaba.

    The commissioner said the award of the contract was to ensure successful hosting of the African International Athletics Championship in the stadium in August.

    Uka added that the state government approved the transfer of ownership of Ughelli Modern Market built by it to Ughelli North Local Government.

    NAN

  • Alleged debt: Ex-bank chief sues mortgage bank for N500m

    Alleged debt: Ex-bank chief sues mortgage bank for N500m

    Former chairman of the defunct Intercontinental Bank Plc, Dr Raymond Obieri, has filed a N500 million suit against Trustbond Mortgage Bank Plc.

    The suit is over alleged indebtedness arising from the winding up of the defunct Summit Capital and Asset Management Limited.

    In a writ filed through his lawyer, Dr Oladapo Olanipekun, the plaintiff is seeking an order awarding him the amount as general damages.

    He is also seeking orders awarding him N10 million as special damages, N15 million as exemplary damages and N10.5 million as cost of the action.

    The plaintiff is also praying for an order restraining the defendant, whether by itself or by its officers from sending any petition to any law enforcement agency in respect of matters arising from the assets and liabilities of the defunct Summit Capital Asset Management.

    The plaintiff is also seeking an order restraining the defendant or its agents from further harassing, threatening, intimidating, blackmailing or extorting him.

    The plaintiff, among other prayers, asked the court for a declaration that the defendant’s actions and assertions made in a letter to the plaintiff dated November 7, 2017 are unlawful and contrary to the provisions of Companies and Allied Matters Act.

    In a 29-paragraph statement of claim in support of the writ,  the plaintiff said that unless  restrained by the court, the defendant’s alleged unlawful acts of harassment, blackmail, intimidation and threat, will cause further significant loss of income, distress, trauma to the plaintiff and may cause incalculable damage to his career and respected personality.

    The plaintiff averred that as a result of the mental and emotional distress he suffered by the defendant’s action, he has been unable to conduct his business transactions properly, resulting in loss of income.

    The plaintiff averred that the defunct bank and its subsidiaries had extensive business relations with Summit Capital and Asset Management.

    According to him, the defendant, when it was known as Intercontinental Home Savings and Loans Limited, made investment of N845.6 million, made up of N752.5 million capital plus interest of N93.1million.

    It alleged that Summit Capital advanced loans to staff of the defunct bank, exceeding its investment of N845.6 million but which was not repaid.

    The defendant averred that sequel to acquisition of the bank by Access Bank, issues of group debt were discussed, accepted and schedules forwarded to Access Bank.

    During winding up, the  Board of Summit Capital and Asset Management took a decision and debt owed to Intercontinental Home Savings and Loans  was set off against the debt owed by Intercontinental Bank staff.

    The plaintiff contended that the winding up of Summit Capital and Asset Management was done  in good faith.

    It averred that International Home Savings and Loans on June 22, 2012 sought leave of court to issue proceedings against Summit Capital but the matter was struck out.

    The plaintiff averred that he has been singled out by the defendant for alleged malicious and acts of harassment and intimidation despite that he was not a sole director to Summit Capital and Asset Management and sole signatory to statements issued in the course of  winding up of its affairs.

    Legal Adviser and Company Secretary to Trustbond Mortgage Bank, Mr Mark Okoye said the bank was in the knowledge of the suit and that its lawyer was in the process of responding to it.

    Okoye said Summit Capital and Asset Management is indebted to Intercontinental Homes, now TrustBond Mortgage Bank Plc, to the tune of N983,633,559.49k as at March 27, 2012.

    He said the money was placed  with Summit Capital as money market investment and that interest continues to accrue on the amount.

    The debt is over N3billion.

    According to him, the alleged indebtedness was fraudulently,  wilfully and maliciously omitted from the Statement of Assets and Liabilities of  Summit signed by Dr Obieri and  filed with the Corporate Affairs Commission (CAC), Abuja, prior to obtaining the consent of the Commission to the Voluntary Winding-up  (now liquidated).

    He said the fraud was discovered last year when TrustBond obtained the documents filed by Summit at CAC.

    The court is yet to fix a date for hearing.

  • Omoluabi Mortgage Bank makes N78million profit

    Omoluabi  Mortgage Bank has declared N78,869,496 as profit  before  tax during  2016 financial  year as against the loss of #168 million recorded in the year 2015. Chairman of the bank, Dr Adebayo Jimoh while reviewing  the bank’s  performance in the 2016 financial year disclosed that “Apart from the PBT of over N78 million, the two weeks  after  its appearance on the floor of the Nigerian  Stock Exchange, the bank also achieved increased in gross earnings  by 42.39 percent  from N214 million in 2015 to N304 million. This is in addition to increase in customer deposit growth by 165 percent  from N165 million in 2015 to N389 million in 2016.”

    According to him, “The quality of loans and advances portfolio of Omoluabi Mortgage bank plc rose from N365 millions in 2015 to N549 millions in 2016 while the total assets of the bank grew from N2.6 billion in 2015 to N3.3 billion in 2016 while the shareholders  funds grew from N2.3 billion to N2.43 billion in 2016.”

    Adebayo  disclosed that despite the fact that the past year was a very challenging one both for economic and business environment  in the county especially for the mortgage subsector, Omoluabi bank made many changes within the year so as to reposition it for better performance and efficient service delivery

    ‘’Hence, the year saw us strengthen ourselves through a major change to Board, structure and capacity to reflect the current best practices in the industry thereby enhancing it with more experience and capability,’’,he added.

    Meanwhile shareholders of the bank  have commended  the board and management  of the  bank for remarkable turn around in the  fortunes of Omoluabi in the last financial  year but urged the mortgage institution to expedite actions in the payment of dividends so as to compensate their  steadfastness  and  faith they have in the bank. .

    Adebayo  while responding to observations,questions and recommendations  made by shareholders, assured them of the bank’s commitment to dividend payment and also disclosed mid-term plan of the bank to become “a PMI with National License and position itself as key player in the mortgage sub sector along the South-West corridor of Osun, Oyo, Ondo, Ekiti, Kwara and Edo Sates”

    Also speaking at the AGM, the Managing Director of the Bank,Mr Ayo Olowokere called for patience and understanding on the path of the shareholders, as he promised that  the bank is poised for more  transformation and value creation in the next  financial year. He attributed the success recorded by the bank in the last financial year largely to the use of technology which he said has shaped its banking operations especially with the introduction of various e-channels like Autopay, Quickteller, NIBSS instant payment, College pay, Automatic Teller Machine among others.

    Highlight of the meeting was the election  of Mr Akintayo Kolawole  and Dr D. O Yunusa as non Executive Directors of the bank by the after which the meeting invoked provision   section 262 of Companies and Allied Matters  Act(CAMA)1990 to remove former  Comissioner of Finance in Osun State,Mr Wale Bolorunduro from the board.

     

     

  • Omoluabi Mortgage Bank opens Ilesa branch

    AS part of its efforts in making banking services available to the nooks and crannies of State of Osun, Omoluwabi Mortgage Bank, Plc, opened another branch in the ancient city of Ilesa. The branch was commissioned by the Governor of the State of Osun, Ogbeni Rauf Aregbesola who disclosed that the bank which was incorporated in 1993 is a licensed mortgage institution with primary responsibilities of providing mortgage banking services, housing and property development solutions and general financial services for the people.

    He stated that it was a thing of joy for him that the commissioning of a new branch of the bank coming shortly after the commissioning of Ejigbo branch, in May 2016,the Board of Directors and Management of the bank have achieved a remarkable milestone with the commissioning of Omoluwabi Mortgage Bank, Plc,llesa branch. Aregbesola who led the state functionaries to the event advised would be house owners, property developers and traders to transact business with Omoluwabi Mortgage Bank Plc by opening account with the bank because of the single digit interest rate charged by the bank on mortgage loan.

    The Chairman Board of Directors of the bank , Dr Adebayo Jimoh explained the transformational changes that the bank has passed through in structure, form, nomenclature, management and capital funding from 1993 when the bank was registered as Living spring Building Society to the present time when it became Omoluwabi Mortgage Bank Plc, having successfully met the listing requirements of both the Nigeria Stock Exchange and Securities and Exchange Commission. All these transformational changes, according to the Chairman has made the bank ”not only new but bigger, better and stronger” ”Embedded in this transformational changes are a complete over haul of its former business process and embracing an up to date technology in carrying out business.

    This Include among others successful acquisition of banking software that enables seamless operations and ICT sufficiently adequate for Mortgage Finance and Banking Operations but at the same time addresses the core banking, treasury, consumer and corporate e-banking,mobile banking requirements for universal, retail and corporate banking that meet international standards,’ Jimoh said.’ Dr Jimoh applauded Ogbeni Aregbesola for his tremendous support for the bank with the recapitalization of the bank in the year 2013 and its upgrading from Savings and Loans status to Mortgage Bank status thereby expanding its scope.

  • New board to recapitalise Federal Mortgage Bank

    Newly inaugurated board of the Federal Mortgage Bank of Nigeria (FMBN) has promised that the team would recapitalise the bank and improve its balance sheet structure to modify its standing as a financial institution.

    The Managing Director, Gimba Ya’u Kumo, whose appointment was renewed, gave this pledge in Abuja at the inauguration of the board over the weekend.

    According to him, “our strategy will involve developing proactive and effective strategies to attract offshore funding for affordable housing to Nigerians as well as improving service delivery to National Housing Fund (NHF) contributors’ across the country.”

    He added that the Board also plans “to look at improvement of members of staff welfare across board to ensure a well motivated workforce and profitable operations.”

    The FMBN boss said that the completion of ongoing housing estate projects under the Ministerial Pilot Housing Scheme nationwide and the completion of the Goodluck Jonathan Legacy Estate in Kaba District in the Federal Capital Territory, FCT, will be vigorously pursued.

    Kumo assured the federal government and other stakeholders in the sector, of their determination to sustain the cordial relationship they enjoyed in the previous years, appealing that, “the same support and cooperation enjoyed by the previous executive management team be equally extended to the present team.

    “As a returning member of the team, I have had the privilege of experiencing the various challenges facing the FMBN as well as the housing sector in general,” he said.

    Earlier, the Minister of Lands, Housing and Urban Development, Mrs. Akon Eyakenyi, said that the essence of reconstituting the team of the FMBN was to reinvigorate the bank and effectively reposition it to meet the present and future challenges and gave a fresh mandate to the management to make house ownership easier for most Nigerians.

    Eyakenyi applauded the performance of the FMBN in previous years, saying the bank continues to be one of the performing organisations in the country.

    She urged the team to create room for innovators and strategic thinkers in the bank to flourish by reconfiguring the human resources management architecture of the bank.

  • FMBN appeals to CBN over equity contribution

    FMBN appeals to CBN over equity contribution

    • Eyes N250 billion capital base

    The Federal Mortgage  Bank of Nigeria (FMBN) has appealed to the Central Bank of Nigeria (CBN) to expedite action on the payment of its outstanding equity contribution to the bank’s take off grant, its Managing Director, Mr. Gimba Ya’U Kumo, said.

    Although the Federal Government had paid up its share of the equity when the FMBN took off, the expansion of the scope of operation of the bank 16 years ago, to carry secondary mortgage business, led to a re distribution of its shares between the CBN and the Federal Government.

    He said: “The CBN has paid its first part of the share of about N60 million, while the Federal Government has fully paid up. We are now discussing with the new management of the CBN to pay up their balance and they have promised to pay very soon.”

    The FMBN chief said there was an urgent need to increase the financial muscle of the mortgage institution to cope with the demands of modern day mortgage business.

    He added that the financial muscle of the FMBN is in two folds- the share capital, which he said is not yet fully paid up. The second part, he further explained, is the working capital to enable it carry out mortgage activities and funding of buildings, especially because the housing stock as presently constituted, is not enough.

  • Mortgage bank’s asset base hits N4.7b

    Haggai Savings & Loans Limited grew its total assets base to N4.7Billion in 2011, while its share holder’s funds increased to N653.3million in the same year.

    Announcing this at the banks 2011 Annual General Meeting in Lagos, the Chairman Elder S. M. Olakunri (SAN), said the bank’s gross income increased to N684million, as adainst N619million declared in 2010. The bank’s deposits base also increased to N2.7billion in the same year from N1.9billion in the previous year.

    The bank declared a profit before tax of N206.6million, representing a decrease from N225.9 million that the bank posted in 2010.

    Despite this decrease in profit for that operating year, the shareholders got a dividend of 30kobo per every ordinary share declared for the year ended 31st December 2011.

    The Chairman said the bank is embarking on a five-year strategic plan aimed at transforming the bank to becoming one of the first five largest primary mortgage banks in Nigeria. As part of the plans towards achieving this growth plan, the mortgage bank is working on its recapitalisation process as demanded by the Central Bank of Nigeria.

    The recapitalisation process will see the bank picking a National Mortgage banking license from the apex bank to beat the May, 2013 deadline set by the apex bank for all mortgage institutions in the country to recapitalise.

    The chairman said the bank would open a new branch at the Redemption Camp alomg the Lagos/Ibadan expressway very soon.