Keystone, Heritage bank sealed in Akwa Ibom over N228.6m debt

The Akwa Ibom State Internal Revenue Service has taken action against three banks, closing their operations due to their alleged failure to remit a total of N228.6 million in outstanding tax liabilities to the state government.

This move, which occurred on Thursday, was carried out by the board’s Enforcement and Recovery Department, following a Notice of Distrain from the Akwa Ibom State High Court, Eket Judicial Division.

The banks affected by this action are two branches of Keystone Bank, located on Abak Road and Ikot Ekpene Road in Uyo, and Heritage Bank, situated on Aka Road in Uyo.

Mr. Leo Umana, the Executive Director of Enforcement and Recovery for the board, explained that Heritage Bank had not remitted N100,270,910 in tax liabilities to the state, while Keystone Bank’s tax liabilities amounted to N128,413,882.

Umana stated that the board had previously issued notices and attempted to negotiate with the banks, but they had not complied, leading to the enforcement action. The 14-day period granted under the law allows the banks to negotiate with AKIRS and lift the order. If they fail to comply within this timeframe, the board is empowered by the court to sell the property and recover the owed taxes on behalf of the state.

This enforcement effort is part of the revenue board’s commitment to recovering state government revenue and supporting the government’s ARISE agenda. The Warrant of Distrain issued by the High Court of Akwa Ibom in the Eket Judicial Division authorizes the restriction of access to the bank premises and facilities to satisfy the outstanding tax liabilities.