Fidelity Bank has firmly denied allegations of a data breach and is challenging the N555.8 million fine imposed by the Nigerian Data Protection Commission (NDPC).

Meksley Nwagboh, the Divisional Head of Brand and Communications at Fidelity Bank, issued a statement on Wednesday affirming that the bank has consistently adhered to the highest ethical standards, ensuring full compliance with existing data protection laws.

The NDPC announced on Wednesday that it had fined Fidelity Bank N555.8 million for allegedly violating data privacy regulations. Vincent Olatunji, the National Commissioner of the NDPC, stated that the bank’s “arrogance ultimately led us to impose the full penalty.”

In response, Fidelity Bank clarified that an internal investigation revealed that an account opening request had been received online, but the account remained non-operational due to incomplete documentation. The bank emphasized that it had taken immediate steps to block and subsequently close the account when the required documents were not provided.

Fidelity Bank noted that it received a notice of investigation from the NDPC on April 30, 2023, following a complaint from an individual whose details were allegedly used to open an account without consent. The bank conducted an internal investigation and confirmed that the account was never operational as the necessary documentation was not completed.

“Accounts created online without full documentation are not allowed to be operational and are closed after 30 days if the outstanding documents are not provided to authenticate the identity of the person seeking to open the account,” the bank explained. The account in question was immediately placed on ‘Post No Debit’ status and eventually closed when the documentation was not completed.

Fidelity Bank further stated that it responded to the NDPC on May 2, 2023, confirming that no laws were violated as there was no data breach and the account opening process had not been finalized.

Despite the bank’s explanation and the evidence provided, the NDPC concluded to impose a penalty. On December 5, 2023, the bank received a letter from the NDPC demanding a “remedial fee” of N250 million within 21 days. While Fidelity Bank was still engaging with the Commission, it received another letter on August 20, 2024, increasing the fine to N555.8 million.

Fidelity Bank maintains that it has not breached any extant laws or regulations and continues to engage with the NDPC to resolve the matter.