Attorney General Denies Government Ownership in First Bank Holdings, Labels Reports as Malicious
The Office of the Attorney General of the Federation and Minister of Justice, Lateef Fagbemi (SAN), has vehemently denied claims that the Federal Government acquired a 25% stake in First Bank Holdings, describing the reports as “inaccurate, misleading, resentful, and malicious.”
This clarification follows widespread media reports suggesting the government had, through a trustee arrangement, gained significant control in the bank holding company.
The reports, which were amplified by several news outlets including ThisDay and Arise TV, alleged that a special-purpose vehicle or trustee—purportedly acting on behalf of the Federal Government—had acquired a quarter of First Holdco’s shares.
The move, according to the claims, was said to be part of a broader restructuring and recapitalization effort in the banking sector. Speculations also implied the involvement of the Central Bank of Nigeria (CBN) and a link to high-level government directives.
Reacting to the controversy on Thursday, July 18, the AGF’s media office issued a detailed rebuttal through Kamarudeen Ogundele, the Special Assistant to the President on Communication and Publicity in the Ministry of Justice.
In the statement, the AGF made it clear that neither his office nor the Federal Government participated in any share acquisition exercise relating to First Bank Holdings.
According to the official response, the trustee arrangement in question was established directly by First Holdco and duly approved by the Central Bank of Nigeria. Stanbic IBTC Trustees was identified as the independent entity responsible for holding the shares, acting without any directive from or relationship with the Federal Government. The AGF’s office emphasized that its name was falsely dragged into the matter without basis or legal justification.
Furthermore, the statement urged media organizations to exercise caution and adhere strictly to journalistic ethics and due diligence.
The Attorney General reaffirmed the Federal Government’s commitment to transparency, accountability, and the rule of law, stating that President Bola Tinubu’s administration remains focused on strengthening institutions and rebuilding investor confidence in the economy.
The alleged involvement of the government in First Bank’s affairs had triggered public concern over possible state interference in the operations of a major financial institution.
However, the categorical denial from the Ministry of Justice appears aimed at quelling those fears and preserving the integrity of the banking system.
As the situation continues to generate conversation in financial and political circles, stakeholders are watching closely to see if the media outlets involved will issue corrections or if further clarifications will be made by First Bank Holdings and the Central Bank.
For now, the government insists it has no stake in the bank and considers the contrary reports nothing more than a calculated attempt to mislead the public.
