The Akwa Ibom State Internal Revenue Service has closed down two branches of Keystone Bank and one branch of Heritage Bank for their alleged failure to remit outstanding tax liabilities totaling N228.6 million to the state government.
The banks were sealed off during an operation conducted by the board’s Enforcement and Recovery Department, following an order from the Akwa Ibom State High Court.
The Akwa Ibom State Internal Revenue Service has given the affected banks 14 days to settle their debts, failing which they will have to dispose of the banks’ property to recover the outstanding tax amounts. The affected banks are two Keystone Bank branches located at Abak Road and Ikot Ekpene Road in Uyo, and one Heritage Bank branch at Aka Road, Uyo.
The Executive Director of Enforcement and Recovery, Akwa Ibom State Internal Revenue Service, Leo Umana, explained that Heritage Bank owed N100,270,910 in tax liabilities to the state, while Keystone Bank’s tax liabilities amounted to N128,413,882. The revenue board had provided notice and attempted reconciliation and negotiation with the banks but was left with no option but to take legal action.
In line with the court order, the banks have 14 days to negotiate with the Akwa Ibom State Internal Revenue Service and vacate the order; otherwise, the revenue board has the court’s mandate to sell the banks’ property to recover the taxes owed to the state. The operation is part of the state’s efforts to recover unpaid revenue and support its government’s agenda.
