Sterling Bank Under Fire As Customer’s N724,570 “Disappears” To Unknown Union Bank Account

Sanni, a local trader who deals in cashew nuts and cocoa beans, received payment from a client on April 25, 2025, through a Zenith Bank transfer, only to discover days later that the funds had vanished from his Sterling account without his consent or instruction.

The payment was made by Azeez Taiwo Adelani, a fellow trader in Iwo, for goods purchased. While Sanni received a credit alert via SMS confirming the amount, the funds were never reflected in his Sterling Bank app balance.

Four days later, on April 29, the money was unilaterally withdrawn from his account. According to a May 2 demand letter written by Sanni’s lawyer, Tawfiq Tewogbade of A+ Legal Practitioners, Sterling Bank claimed the funds were remitted to a Union Bank account—an account completely unknown to Sanni.

“The sum of N724,570 was unilaterally and illegally removed… without any recourse or notice to our client, in flagrant violation of the duty of care your bank owes him,” Tewogbade wrote.

Adding to the confusion, Sanni’s legal team clarified that no reversal request or dispute was lodged by Adelani, the sender of the funds, that could have prompted a bank-initiated withdrawal.

“Adelani lodged a complaint with his bank, but they confirmed the funds were not reversed to him. In fact, he was advised to write to the Central Bank of Nigeria (CBN) if he wanted further redress,” said Mujeeb Tadese, a litigation secretary at A+ Legal Practitioners.

Tadese also confirmed that Sanni’s account statement reflected a negative transaction, but no recipient details—neither account number nor bank name—were disclosed.

Sterling Bank’s Southwest Legal Team, represented by Itopa Yakubu and David Otunla, acknowledged receipt of the legal complaint on May 2 and promised to provide feedback “soonest.”

However, the 48-hour deadline issued in the pre-action notice has since elapsed without resolution. Neither has the bank returned the money nor offered any substantial explanation.

“Take further notice that we shall not hesitate to explore all options within the bounds of the law… This letter also serves as a pre-action notice,” Tewogbade warned.