Recent reports have surfaced alleging that the Managing Director and Chief Executive Officer of Fidelity Bank, Dr. Nneka Onyeali-Ikpe, engaged in insider trading by purchasing 18 million shares of the bank at ₦20.25 per share. This development comes as Fidelity Bank faces mounting pressure following a Supreme Court ruling that upheld a ₦225 billion judgment debt against the financial institution in favor of Ibadan-based Sagecom Concept Limited.
Insider trading—the illegal practice of trading securities based on confidential, non-public information—raises serious ethical and legal concerns, particularly when conducted by individuals in positions of power within financial institutions. Sources claim that the MD’s share purchase was an attempt to project financial strength amid concerns over the bank’s ability to meet its legal obligations.
In response to the allegations, Fidelity Bank’s Divisional Head of Brand and Communications, Meksley Nwagboh, defended the MD’s actions, stating that the purchase was made using personal funds and reflected confidence in the bank’s long-term viability.
The Supreme Court ruling stems from a long-standing legal dispute originating from a credit facility granted by the now Bank in 2002. The judgment debt has reportedly ballooned due to compounded daily interest, raising concerns about the bank’s financial stability.
Fidelity Bank has acknowledged the court ruling and confirmed ongoing discussions with Sagecom’s legal team to arrange a structured repayment plan. The bank maintains that its liability is closer to ₦14 billion and has sought judicial clarification on the accurate computation of the judgment sum.