Section 40: Special examination.

(1) The Executive Management of the Corporation may at any time appoint two or more qualified persons to conduct a special examination or investigation of the books and affairs of an insured institution under conditions of secrecy where the Executive Management of the Corporation is of the opinion that an insured institution may-
(a) be carrying on business in a manner detrimental to the interest of its depositors and creditors;
(b) have insufficient assets to cover its liabilities to the public; or
(c) be contravening the provisions of this Act.
(2) An examiner appointed to conduct a special examination under subsection (1) shall forward a written report of his findings to the Managing Director of the Corporation who shall inform the Board of any circumstances in which the Corporation shall notify, and may make appropriate recommendations to the Central Bank of Nigeria under the provisions of sections 32, 33, and 43 of this Act.
(3) Where an insured institution deems that it is-
(a) likely to become unable to meet its obligations; or
(b) about to suspend payments,
the insured institution shall immediately notify the Corporation.
(4) Any insured institution which contravenes the provisions of subsection (3), commits an offence and is liable on conviction to a fine of-
(a) N50,000,000 in the case of a Deposit Money Bank; and
(b) N10,000,000, in the case of other deposit-taking financial institutions.
(5) Any director whose responsibility it was to inform the Corporation shall be personally liable to a fine of N5,000,000 in addition to any other sanction that may be imposed on such director.