Reps summon bank CEOs over alleged illegal deductions
Chief executives of commercial banks have been summoned to appear in person before a House of Representatives investigative committee regarding purported unlawful and unexplained deductions from customer accounts.
This instruction was given on Tuesday in Abuja by the House Ad-hoc Committee investigating tax deductions from the earnings of civil and public servants, as well as bank fees levied on customers.
Commercial banks enforce a variety of fees on customer accounts, such as SMS charges, account maintenance fees, transfer fees, and other deductions.
During the meeting, Committee Chairman Rep. Kelechi Nwogu accused commercial banks of executing systematic and unlawful deductions, including fees that lack clarity and are not properly remitted to the appropriate authorities.
He noted that banks frequently deduct numerous charges—like SMS alert costs, account maintenance fees, and transfer fees—raising concerns about their legality, transparency, and the application of these funds.
Reaffirming the committee's purpose, Nwogu stated that the investigation seeks to ensure that all deductions imposed by banks are properly authorized, accurately computed, and correctly applied.
“Our responsibility is clear. All deductions or charges must be calculated properly, fined accurately, and utilized correctly,” he said.
He also mentioned that the committee has reached out to the Ministry of Finance and will work alongside the Office of the Accountant-General of the Federation, the Economic and Financial Crimes Commission, and all commercial banks operating in Nigeria to conduct a thorough investigation.
Moreover, the committee chairman dismissed any efforts by banks to send representatives in place of their chief executives, insisting that the CEOs must attend the panel in person without exception.
“You cannot appear here without an identity. We are not here of our own accord. We are here under the authority of the people who elected us to parliament,” Nwogu stated.
“We have decided to reconvene next week Wednesday. You are required to submit all requested documents by Monday at the latest. We will review all documents and place you under oath.”
The committee has imposed a four-day deadline for all banks to submit the documents necessary for the inquiry.
Nwogu cautioned that any bank that does not meet the Monday deadline will face penalties.
He added that the House panel is dedicated to completely uncovering the reasons behind what it views as arbitrary and unwarranted deductions from customer accounts.
According to the Central Bank of Nigeria’s most recent Business Expectations Survey Report, excessive bank fees, multiple taxes, and poor infrastructure were identified as the primary challenges confronting businesses in September 2025.
The report indicated that respondents highlighted High Bank Charges (70.8), High/Multiple Taxes (70.8), and Poor Infrastructure (70.7) as the top three obstacles hindering business operations across the country.
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