Reps to probe Zenith Bank over alleged freezing of customers’ FX accounts

The House of Representatives has resolved to probe Zenith Bank over the alleged freezing of the bank accounts of some of its customers.

This resolution was a sequel to a motion of a matter of urgent public importance moved by Femi Bamishile (APC, Ekiti) on Wednesday during plenary.

Moving the motion, Mr Bamishile informed the lawmakers that Zenith Bank has an App for the transaction of FX. According to him, the app has been running for years with no limit cap on transactions.

He stated that customers of the bank have been using the platform for transactions but that the app stopped recently.

Mr Bamishile said shortly after the App stopped, the bank also froze the bank accounts of some of the customers using the software.

“This App has been ongoing for a period of time, and there is no cap to the limit of money that can be bought or transferred either by an individual or business.

“Three weeks ago customers’ accounts were frozen and a message was sent out by Zenith Bank to their customers, asking them to refund the money they transferred using the App,” he said.

He cited a case of an unnamed man whom the bank is coercing to refund $100,000 after carrying out transactions via the App.

“A young man was invited and detained by the Special Fraud Unit. He was made to pay a $100,000 back to the bank and also made to give an undertaken under duress stating that he made an illegal transaction,” the legislator said in the motion.

Mr Bamishile explained that Zenith Bank made money from all transactions via the App, therefore, they should be equally liable for any disruption.

Following the adoption of the motion, the Speaker, Abbas Tajudeen mandated the committee on Digital Banking to look into this issue and come to an amicable resolution.

The committee is to report back to the House in two weeks.