AMCON Archives — Business Bells

Business Bells

Tag: AMCON

  • AMCON Takes Over Ibadan Electricity Distribution Company

    AMCON Takes Over Ibadan Electricity Distribution Company

     

    The Assets Management Corporation of Nigeria (AMCON) on Friday announced the takeover of the Ibadan Electricity Distribution Company (IBEDC) Ltd over insolvency.

     

    The Chief Operating Officer (COO) Engineer John Ayodele made this known in a memo to members of staff intimating them of the development, The Nation reports.

     

    Ayodele, in the January 20 memo, said the company fell under receivership by a September 8, 2021, Federal High Court judgment.

     

    He explained the government corporation has appointed a lawyer to serve in the receivership action.

     

    He revealed that the receiver arrived on Thursday, January 20 to take charge formally, hinting that he already held a meeting with the management staff.

     

    Ayodele, however, allayed fears over the development and assured staff of job security.

     

    The memo reads: “Further, to the judgement wherein the Federal High Court on the 8th of September 2021 granted preservative orders in favour of Asset Management Corporation- AMCON, (being the Receiver/Manager of Integrated Energy Distribution and Marketing Limited); the court has appointed Mr Kunle Oqunba Esq.SAN to act as Receiver/ Manager Nominee in the receivership action.

     

    “Based on the foregoing the Receiver/Manager came in today 20th January 2022 to the IBEDC Headquarters to take charge formally and subsequently met with the Management team. Therefore, I hereby wish to inform all staff that there is no cause for alarm.

     

    “We are assured of job security which entails our position/ duties in the company, being entitlements to our salaries and other benefits, etc.

     

    “On behalf of the Management, I urge us all to kindly go about the efficient discharge of

     

    our duties to ensure a speedy and mutually beneficial resolution.

     

    “I wish us all the best, while I appeal that we continue to remember IBEDC in our prayers.”

     

    IBEDC distributes electricity to consumers in Oyo, Osun, Ogun, and Ondo as well as some parts of Ekiti and Kwara States.

     

  • We’re Still in Charge of NICON, Other Assets of Jimoh Ibrahim, He Owes Govt N70bn –AMCON

    We’re Still in Charge of NICON, Other Assets of Jimoh Ibrahim, He Owes Govt N70bn –AMCON

     

    The Asset Management Corporation of Nigeria, AMCON has said that following a High Court order, it still remains in charge of assets belonging to a business mogul, Jimoh Ibrahim.

     

    A statement from the corporation on Thursday said Ibrahim’s current indebtedness to AMCON stood at nearly N70bn.

     

    The statement, signed by Head of Corporate Communications at AMCON, Jude Nwauzor, said Justice A. R. Mohammed of the Federal High Court Abuja Division had on Monday ordered AMCON, NICON Insurance Limited, Nigeria Reinsurance and Ibrahim to maintain the status-quo-ante until September 8, 2021, when the court would hear all pending applications on the matter.

     

    Nwauzor said the matter between Ibrahim and AMCON had been interminable since the loan was purchased by the government debt recovery agency during the first phase of Eligible Bank Asset purchases from Union Bank in the early days of AMCON.

     

    The statement read, “AMCON and BPE, on July 21, received approval from the National Insurance Commission to constitute a new board and management of NICON Insurance Limited and Nigeria Re.

     

    “The change was to enhance the smooth running, efficient and effective management of the two firms previously owned by the recalcitrant debtor and businessman.

     

    “The reason for the changes in the board and management of the two insurance firms was sequel to the takeover of the major investor’s interests in the two organisations, and the Bureau for Public Enterprises who worked in partnership with AMCON to bring the much-needed stability in the operation of the organisations.”

     

     

    AMCON said the reconstitution of the board and management team of the two insurance institutions in Nigeria was to ensure that the firms remained transparent and accountable.

     

    It said, “After the constitution of the boards, Jimoh Ibrahim belatedly approached the court to obtain an order seeking to stop AMCON from constituting the boards of the two insurance firms.

     

    “But when the case came up for hearing on Monday the 18th of August, the judge ruled that all parties maintain the status quo until September 8, which was agreed by both the counsel to Jimoh Ibrahim and co, C.I. Okpoko, SAN and counsel to AMCON, A.U. Mustapha, SAN.

     

    “The implication is that AMCON is still in charge of all assets of Jimoh Ibrahim and his companies including NICON Insurance Limited and Nigeria Reinsurance Corporation over their heavy indebtedness to AMCON following earlier court rulings, which gave AMCON the power to take over the assets ab-initio.”

     

  • N69.4bn Debt: AMCON Takes Over NICON Insurance, Nigeria Reinsurance From Jimoh Ibrahim

    N69.4bn Debt: AMCON Takes Over NICON Insurance, Nigeria Reinsurance From Jimoh Ibrahim

     

    In a bid to bring stability in the operation of organisations, the Asset Management Corporation of Nigeria (AMCON) has taken over the major investor’s interests in NICON Insurance Limited and the Nigeria Reinsurance Corporation (Nigeria Re).

     

    The two companies belonging to the embattled businessman and politician, Jimoh Ibrahim, were taken-over over an alleged N69.4 billion debt.

     

    National Insurance Commission (NAICOM), however, approved the new board and management of the two firms.

     

    According to AMCON, reason for the changes in the board and management of the two insurance firms is sequel to the takeover of the major investor’s interests in the two organisations.

     

    The new board of NICON Insurance Limited has Mr. Lamis Shehu Dikko FIoD as Chairman, Dr. Henry Uko Ationu, ACIIN as Managing Director/Chief Executive Officer and Mr. John Abuh Oyidih FCA ACIIN as Executive Director, Finance & Admin.

     

    The insurance firm also has Mr. Alexander Ayoola Okoh, the Director-General of Bureau for Public Enterprises (BPE) as Non-Executive Director and Mr. Ahmed Dahiru Modibbo FIBA ACIS as Non-Executive Director (Independent).

     

    Similarly, the board and management of Nigeria Reinsurance Corporation has Mr. Mela Audu Nunghe SAN as Chairman, Mr. Olugbenga Falekulo ACII serves as Managing Director/Chief Executive Officer and Mr. Olusegun Ilori FCA ACIIN comes in as Executive Director, Finance & Admin.

     

    Mr. Alexander Ayoola Okoh, the Director-General of Bureau for Public Enterprises (BPE) comes in as Non-Executive Director while Mrs. Yvonne Isichei MIoD, FCIB joins as Non-Executive Director (Independent).

     

    The reconstitution of the board and management team of two insurance institutions in Nigeria is to ensure that the firms continue in their quest for transparent and accountable management of insurance in the country and continue to deliver value to its stakeholders.

     

    NICON Insurance Limited, which is one of Africa’s leading Insurers in the country was originally owned by the Federal Government of Nigeria.

     

    The Corporation was established by Decree No.22 of 1969 (now Cap 263 law of 1990 as amended) with the main objective of assisting in the development of the insurance industry in Nigeria and specifically to ensure that Federal Government assets and property are fully protected by way of insurance.

     

    However, consequent upon the commencement of the second phase of the Federal Government Privatisation Policy, NICON Insurance was privatised in December 2005.

     

    With an asset base of N46.9bn gathered over a 50-year period of operation, many branches, and regional offices, it is therefore modest to classify NICON as a colossus in the insurance and other financial services sector.

     

    Nigeria Reinsurance Corporation on the other hand was established under the Nigeria Reinsurance Corporation Act No. 49 of 1977. It commenced operations on January 1st, 1978, as Nigeria’s flag reinsurer, wholly owned by the Government of the Federal Republic of Nigeria.

     

    In 2002, the Corporation was transformed from being a Federal Government wholly owned Corporation to a privatised company with the government retaining some shares.

     

    The Corporation, which has over 40 years of operations is in the business of assuming risks, providing reinsurance services and risk management solutions to its clients.

     

  • N1.6bn Debt: AMCON Seizes Rainoil Assets, Others Accounts

    N1.6bn Debt: AMCON Seizes Rainoil Assets, Others Accounts

    A Federal High Court in Lagos has ordered the freezing of bank accounts and shares belonging to downstream oil and gas company, Rainoil Limited, and 13 others over N1.6bn debt.

     

    The 13 others affected include David Ogwu, Anthony Ezeh, Clara Rotzler, Vincent Otiono, Vincent Sankey, Victoria Alo, Preye Ogriki, Treasure Afolanyan, Chief Nwagwu, Peter Ololo, Gordons Ejikeme, Joe Idudu and Falcon Securities Ltd.

     

    The Asset Management Company of Nigeria said this in a statement titled, ‘AMCON Seize Assets of Deap Capital Directors over N1.6bn Debt’ on Wednesday, adding that the order to seize the assets was given by Justice C.J. Aneke

     

    AMCON said following the order, it took effective possession of the seven properties as listed by the court through its Debt Recovery Agent – Etonye & Etonye.

     

    The properties include Plots 14, 15, 16 and 17 in Block 1B, Isolo-Ishaga Area, Mushin, Lagos State; Mile 3 Old Isheri Road, Ikeja, Lagos State; Plot 13, Block 65 Magodo Residential Scheme, Lagos State; No. 73, Femi Kila Street, Okota, Isolo, Lagos State; Plot 22, Block 91, Lekki Peninsula Residential Scheme, Lekki Area, Lagos; and Government Land Allocation, Lekki Peninsula Scheme II.

     

    The statement reads partly, “The court also ordered the freezing of the bank accounts and shares of the company’s directors namely; David Ogwu, Anthony Ezeh, Clara Rotzler, Vincent Otiono, Vincent Sankey, Victoria Alo, Hon. Preye Ogriki, Treasure Afolanyan, Chief Nwagwu, Peter Ololo, Gordons Ejikeme, Joe Idudu, Falcon Securities Limited and Rainoil Limited.”

     

    AMCON spokesperson, Jude Nwauzor confirmed that all the property as listed by the court order had been taken over by AMCON.

     

    Recall that AMCON, which is a debt recovery agency of the Federal Government, in July 2020, seized properties belonging to the chief promoter of the company, Mr Emmanuel Ugboh, after offering him concessions and exploring all avenues to resolve the debt harmoniously to no avail.

     

    However, due to the lack of adequate collateral, AMCON had to commence asset tracing on the company’s directors, an exercise, which revealed the seven properties the corporation seized.

     

    AMCON purchased the Non-Performing Loan of Deap Capital Management & Trust Plc. during the first phase of Eligible Bank Assets purchases from Zenith Bank and FCMB in 2011

     

    When contacted, Rainoil Limited denied any involvement in the ongoing asset recovery case between AMCON and the directors of Deap Capital Management and Trust Plc.

     

    “There was neither order of the Federal High Court to freeze any accounts of the company nor was the company listed in the court ruling. We urge the general public to disregard the news in circulation,” it said in a statement.

  • AMCON Seizes Inducon Nigeria’s Assets Over N1.3bn Debt

    AMCON Seizes Inducon Nigeria’s Assets Over N1.3bn Debt

    The Asset Management Corporation of Nigeria, AMCON said it has taken over an asset belonging to the Chief Promoter of Inducon Nigeria Limited, Dr. John Abebe, over N1.3bn debt.

     

    In a statement on Sunday from the Head, Corporate Communications Department, AMCON, Jude Nwauzor, titled ‘N1.3bn debt: AMCON takes over assets of Inducon Nigeria Limited’ it said this followed the order of Honourable Justice Aikawa of the Federal High Court, Lagos.

     

    “In compliance with the enforcement order, AMCON at the weekend took effective possession of the property situate at Plot12, Block 108, Lekki Peninsula Residential Scheme, Lagos, through its debt recovery agent – Ogunsola Shonibare L.P.

     

    “The court also ordered that the bank accounts of the company and its directors, Dr. John Abebe, Mr Olawole Fatimilehin and Ademola Buraimoh, be frozen pending the final determination of the suit.”

     

    AMCON stated that the case of Inducon Nigeria Limited and its promoters had been interminable shortly after the loan was purchased by AMCON during the first phase of Eligible Bank Asset purchases from the defunct FinBank (now FCMB) since 2011.

     

    Since the purchase, AMCON said it had offered the obligor several concessions and explored all avenues to resolve the debt harmoniously, but the obligor and his company had remained recalcitrant and unenthusiastic to repay the huge debt to AMCON.

     

    They had consistently reneged on several promises they made in the past during negotiations, it stated.

     

    It said that this prompted the debt recovery agency to evoke the corporation’s asset tracing powers granted it under the AMCON (Amendment No. 2) Act, 2019.

     

     

     

    Nwauzor confirmed the success of the enforcement exercise over the weekend but added that all avenues of peaceful resolution were explored to no avail before the hard decision was taken.

     

    He emphasised that the enforcement option was usually the last resort for the corporation whenever a recalcitrant obligor decided to be unreasonable.