Union Bank plans to sell Union Homes to Osibodu – ASSBIFI

The Association of Senior Staff of Banks, Insurance and Financial Institutions has alleged that the management of Union Bank Plc has concluded plans to sell Union Homes Savings and Loans Plc to a former Group Managing Director of the bank, Funke Osibodu.
In her capacity as the GMD of Union Bank Plc, Osibodu was also the Chairman of the Board of Directors of all the subsidiaries of the bank.
The bank’s subsidiaries include Union Homes Savings and Loans and Plc, Union Assurance Nigeria Limited, Union Registrars Nigeria Limited and Union Trustees Nigeria Limited among others.
The President of ASSBIFI, Comrade Sola Tokede, who spoke with newsmen on Wednesday, alleged that the management of the bank was conniving with Osibodu to sell Union Homes to her.
Tokede, who also spoke on the alleged indiscriminate sacking of over 400 staff of Union Homes, said: “The current management of Union Bank Nigeria Plc were installed by Mrs. Funke Osibodu and they are working very hard to sell Union Homes Savings and Loans Plc to her and equally refused to return the N26 billion hitherto transferred from Union Homes Plc to assist in the recapitalisation of Union Bank based on her directive.
“Since the year 2011, Union Homes Savings and Loans Plc has found it difficult to meet her obligations to their shareholders and depositors.
“The bank also failed to render her yearly financial reports for the past two years and has had three managing directors to pilot her affairs to date in the last three years, all seconded from Union Bank of Nigeria Plc.”
Tokede said ASSBIFI was also aware that numerous petitions have been written by depositors to the Central Bank of Nigeria and the Nigeria Deposit Insurance Corporation about the failure of Union Homes to meet its obligations to depositors.
He said: “They have turned deaf ears, which smacks of connivance of the highest order to bring the organisation down and sell it at a pittance to their preferred bidder, Mrs. Funke Osibodu.
“The serial disengagement of staff returned on March 8, 2013 when 101 staff were also laid off and at the end of July this year, when all senior staff were laid off except four that were left in the organisation – one manager, one principal manager and two assistance general managers.
“Till date, nearly 400 staff has been wrongfully terminated from work while another 100 were forced to resign their appointments as a result of uncertainties and denials of their normal allowances and incentives hitherto enjoyed.
“An organisation with staff strength of over 700 is now depleted to barely 200 staff.”
Tokede called on the leadership of CBN and NDIC to wade into the matter as things appear to only be degenerating in the organization.