A Federal High Court in Lagos has ruled that the Central Bank of Nigeria (CBN) acted beyond its statutory powers when it dissolved the board of Union Bank of Nigeria in January 2024, ordering the immediate reinstatement of the previous leadership led by Farouk Mohammed Gumel.
Delivering judgment, Justice Chukwujekwu Aneke nullified all decisions taken by the CBN-appointed interim board, declaring them invalid. The court also restrained the apex bank and its agents from taking any further actions, including moves toward recapitalisation, pending proper legal procedures.
The case was initiated by core shareholders of Union Bank including Titan Trust Bank, Luxis International, and Magna International — who challenged the legality of the CBN’s intervention.
They argued that the dissolution of the bank’s board and the appointment of a new management team, including Yetunde Oni as managing director, were carried out without due process and violated corporate governance norms.
The shareholders had earlier secured an interim order in December 2025 halting further actions by the CBN and the interim board. Wednesday’s ruling now affirms their position, marking a significant judicial check on regulatory authority in Nigeria’s banking sector.
