AMCON, Capital Oil’s talks collapse
Posted by: Wale Ajetunmobi Posted date: November 28, 2012


The talks between Capital Oil and Gas Industries Ltd and Assets Management Company Ltd (AMCON) have collapsed.

Spokesman of Capital Oil, Mr. Nick Hayes, said this mean plans by the company to re-open its depots in Lagos and other parts of the country have failed.

He said: “The implication of this is a crisis situation ahead, in regards to the shortage of fuel otherwise known as premium motor spirit (PMS), currently being witnessed across major cities in the country.”

Providing insights into what led to the collapse of talks barely 48 hours after Capital Oil and Gas said it was satisfied with discussions with AMCON, the spokesman blamed it on “inordinate ambition of some forces to take over the running of affairs in the company wholesale.”

In a statement yesterday, Hayes said: “It has now become very obvious that there is a grand design by some very ambitions people to capture the entire business concern and run it as if they set it up in the first instance.

“These people are the ones pushing AMCON to bring very unacceptable conditions to the negotiating table. Their whole plot is to ensure that there is no amicable settlement and in that way, AMCON can do their bidding which simply is, to take over the running of the affairs of the company.”

He said when Capital Oil sensed the personal interest, it backed out of the settlement plan electing instead to head back to the courts.

Hayes added: “Another issue that led to the disagreement by both parties we learnt, is the appointment of an Administrator to oversee the company. AMCON is understood to favour the appointment of an administrator who shall have sweeping powers. Expectedly, top Management of Capital Oil and Gas kicked against the move which they say will give such an Administrator the authority to throw out thousands of Nigerian youths in the employ of the company presently, in favour of those the Administrator may want to bring in. Mr. Hayes hinted that this is one issue that hurt the MD/CEO of Capital Oil and Gas, Chief Ifeanyi Ubah, who has always been on the side of the youths as far as employment is concerned.

“He then warned that if AMCON is not stopped from playing politics with the country’s economy as they are presently doing, what happened in January when Nigerians took to the streets in protest against the removal of subsidy on oil, may be a child’s play to the chaos that will ensure when fuel finally dries out of filling stations nationwide.”

http://thenationonlineng.net/new/news/amcon-capital-oils-talks-collapse/

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if capital oil did not borrow money from the banks, refusing to pay thereby causing them to enter negative balance, AMCON would not have had any reason to take over their operations as it where. If we were in military what would have been done would be to arrest capital oil top management and forcefully take over the operations of that place with a view to securing the Nigerian workers salaries and also repaying back the loans to the Nigerian people, unfortunately our inefficient Judiciary will now unleash untold hardship on the Nigerian populace.

pay ur loan now if u no like der method

talk must fall

Ice4jez: pay ur loan now if u no like der method

You don talk am after. Person wey dey owe money no get choice. Debt makes you a slave.

Capital Oil and AMCON are both playing politics.

AMCON should relax their super stringent authority, while Capital Oil needs to make a resolve on this debt mess he's into. IMO, overseeing the whole operation of an independent company is just overboard - I would have had AMCON take authority on the most important part - Money operations. Leave the running of the company to who has it, instead have an administrator who will act on behalf of AMCON in certain scenarios.

manny4life: Capital Oil and AMCON are both playing politics.

AMCON should relax their super stringent authority, while Capital Oil needs to make a resolve on this debt mess he's into. IMO, overseeing the whole operation of an independent company is just overboard - I would have had AMCON take authority on the most important part - Money operations. Leave the running of the company to who has it, instead have an administrator who will act on behalf of AMCON in certain scenarios.

If they do so. I trust Ubah would start diverting funds. You have to take full ownership. Get your money and get out

fkaz: 9ja gov't go J̶̲̥̅̊u̶̲̥̅̊ƨ̣̣̣̇̇̇̇τ̣̣̥ δεγ act movie every day

omosexy1:

If they do so. I trust Ubah would start diverting funds. You have to take full ownership. Get your money and get out

That's why I said they will take full authority of the money part. What's the use of a company with restricted access to funds?

Ifeanyi Ubah and his fellow debtors like Otedola and the rest of the gangs have ruined so many lives because of their refusal to pay their undeserved loans. Most banks sacked thousands of workers in 2009 because of this same scenario. Some banks were taken over by AMCON because they were in negatives and in 2012,many of those were merged or nationalised leading over a dozen thousands losing their jobs due to people like Ifeanyi Uba not paying up their debts because they have powerful people behind them. It is an irony for Uba to be saying he is concerned about the youth because I lost my job with one of the banks he is owing and I am presently jobless due to no fault of mine but because of the greed of his likes. These guys are vampires, he is still owing Cosmas Maduka and not ready to pay. It is obvious if they don't appoint an administrator, he will divert the funds like he did with Coscharis.

realwale: Ifeanyi Ubah and his fellow debtors like Otedola and the rest of the gangs have ruined so many lives because of their refusal to pay their undeserved loans. Most banks sacked thousands of workers in 2009 because of this same scenario. Some banks were taken over by AMCON because they were in negatives and in 2012,many of those were merged or nationalised leading over a dozen thousands losing their jobs due to people like Ifeanyi Uba not paying up their debts because they have powerful people behind them. It is an irony for Uba to be saying he is concerned about the youth because I lost my job with one of the banks he is owing and I am presently jobless due to no fault of mine but because of the greed of his likes. These guys are vampires, he is still owing Cosmas Maduka and not ready to pay. It is obvious if they don't appoint an administrator, he will divert the funds like he did with Coscharis.

Dude, it's unfortunate that many LOST THEIR JOBS in the banking sector, I'll be heartless to rejoice over such evil. However, let's call spade a spade - the truth be told, the banks management are either greedy and fraudulent or simply incompetent or clueless.

It's common sense, when you go to borrow, the banks is supposed to have have collateral assets in the event of default. Why will banks assume BILLIONS of $$$ in risk without any binding assets to hold onto and expect to be in business?

If the banks did not give that leeway, how will Otedola and Uba be holding so much? The problem is that Nigerian's finance market is restricted to ONLY the rich that banks see no other alternative but to lend to them, whereas in reality, that's not the case.

If you lend N100million to Otedola, who's not gonna repay with no backup assets, and you lend N100million to 100 people with SURE verified assets, who do you think is likely to default? Granted, the lower folks will be more pressured to pay up, there's less risk involved than dealing with Otedola.

My point is, unless we start directing our grievances to the right people, things will NEVER BE WELL. Otedola is just cashing in on the incompetence of your bank management, nothing else.

It is a common practice worldwide for a company or entity to go into administration if its debt obligation has gone beyond a manageable level. Capital Oil can't access funds from the banks and it is even owing private individuals like Cosmas Maduka. Rangers football club of Scotland was taken over by administrators because of debt palaver,in 2009 over nine banks were taken over by CBN and later handed over to AMCON based on the same principle. Ifeanyi is not ready to pay those money borrowed over five years ago and he is using dirty blackmails like shortage of PMS and his connection with Diezani. This is a country where anything goes. Ask thousands of ex bankers presently jobless as a result of this unpaid debts and sharp biz by former bank CEOs like Nwosu,Atuche,Ibru,Akingbola etc. Everyday I wake and curse this guys for making me a jobless youth.

It really beats me how banks could grant loans running to millions of naira without collateral(s).
Well,that aside. Is AMCON trying to totally takeover the company,because this there talk with Capital is over one week now and no mutual agreement has been reached yet.
Shady deals everywhere!

Realwale and Manny4life: both of you made valid points. Without fishing in to practices being exercised by Banks to give out loans, it's purely an internal arrangement between them. The Nigeria factor never encourages taking up a Company as stipulated by the Rules. Since Capital Oil isn't declared inslovent or at the verge of Liquidation, appointment of an Administrator (though they were careful not to call him a Receiver Manager) there is no way a Company will ever be comfortable having an outsider at the helm of it's affairs. Going back to the negotiating table will be ideal for parties concerned. Capital oil will be advised to accomodate a Manager watching brief for AMCON, failing to do so means that their is no good faith from Capital Oil. So unfortunate for Capital Oil, first to receive the hammar from AMCON.

So unfortunate for Capital Oil, first to receive the hammar from AMCON.

Common, Capital Oil is not the first. Intercontinental Bank, Oceanic bank and others got the hammer earlier.


If you suspect your spouse's moves, just get this APPLICATION and you can discreetly track what he/she's up to. Believe me, if he/she's into anything, you'll get him/her.

Ifeanyi Ubah has at his disposal, capable hands that have what it takes to handle the company's current situation, but the remark from him whenever any professional advice is being offered to him is his usual question of what do u know about protocol? What do u know about Nigeria and law?"
Apart from this, lending to a corporate is either in d form of loan,debenture or securities, which are usually secured on all or particular properties of the receiving company. It then follows that where such loan is secured on such properties, the lender can immediately take d possession of them and move on.whereas such loans that are not secured on certain properties are automatically secured on all properties of the receiving company, therefore, a simple resolution among d company's creditor can activate winding up procedures, appoint a liquidator subject to a recommendation from a competent law court.
It is just unfortunate that Ubah has failed to listen to d pleas of his subordinates just to satisfy selfish desire and draw so much misfortunes on himself.
Ok, I'm thinking of the way out for him in my mother's dialect!

So many ppu will pray that d discussion never holds till eternity.

manny4life:

Dude, it's unfortunate that many LOST THEIR JOBS in the banking sector, I'll be heartless to rejoice over such evil. However, let's call spade a spade - the truth be told, the banks management are either greedy and fraudulent or simply incompetent or clueless.

It's common sense, when you go to borrow, the banks is supposed to have have collateral assets in the event of default. Why will banks assume BILLIONS of $$$ in risk without any binding assets to hold onto and expect to be in business?

If the banks did not give that leeway, how will Otedola and Uba be holding so much? The problem is that Nigerian's finance market is restricted to ONLY the rich that banks see no other alternative but to lend to them, whereas in reality, that's not the case.

If you lend N100million to Otedola, who's not gonna repay with no backup assets, and you lend N100million to 100 people with SURE verified assets, who do you think is likely to default? Granted, the lower folks will be more pressured to pay up, there's less risk involved than dealing with Otedola.

My point is, unless we start directing our grievances to the right people, things will NEVER BE WELL. Otedola is just cashing in on the incompetence of your bank management, nothing else.

The issue is a political issue - not a business one. . . . Trust me.

Mr Ubah has been running his mouth and flaunting his ill-goten wealth as if he's now a 'god'.

He's just being 'shook-up' by the elders that are trying to make him understand the concept of respect, power and patience.

He thought he was about to take over the 'South-East' (Anambra) but he's being taught the principles of power - its not all about money!

I have some 'insider information' which I wont disclose - but I've known of the 'chap', his background and intentions.

He's just getting his 'wings' clipped' so he doesn't fly to close to the sun. He's piss.ed of some 'old timers' and they are taking their revenge on him.

. . .And he can forget about 'Governing Anambra' for at least the next 9 years.

Bye,

Sun of god:

The issue is a political issue - not a business one. . . . Trust me.

Mr Ubah has been running his mouth and flaunting his ill-goten wealth as if he's now a 'god'.

He's just being 'shook-up' by the elders that are trying to make him understand the concept of respect, power and patience.

He thought he was about to take over the 'South-East' (Anambra) but he's being taught the principles of power - its not all about money!

I have some 'insider information' which I wont disclose - but I've known of the 'chap', his background and intentions.

He's just getting his 'wings' clipped' so he doesn't fly to close to the sun. He's piss.ed of some 'old timers' and they are taking their revenge on him.

. . .And he can forget about 'Governing Anambra' for at least the next 9 years.

Bye,

you mean he was actually nursing an ambition to govern anambra?

the AMCON arm is being pushed by Access bank and Maduka, Maduka took loans from Access without Guarantee, gave Capital, Capital oil delivered, but according to Capital, part of the funds outstanding is in the subsidy money govt is "investigating". Subsidy committee headed by the MD of Access. Maduka once told Ubah that Access MD doesnt like him at all. More to that Access bank in the finance house that bank rolls 60% of the fuel imports into Nigeria. Capital oil has 35% of the distribution of oil in Nigeria, so using AMCON to flush Ubah out just gives all the other parties so much spoils to play with. I am with Ubah on this.

Ifeany Ubah is full of lies and deceit! He has been granted 25% assess to his account in UBA yet he has not payed any staff rather he is going up and down Hiring lying SANs to defend him and give advices that will not favour him. This guy claims he is the second highest importer of PMS yet for the past months he has not imported even a litre into this country. If not the presence of NNPC who are currently using the depot to load products going to the north, the depot would have been a grave yard in the past months. He is an acute debtor and dupe. He still lives the lifestyle of a gangstar and gun runner which was his way of life over there in Congo where he made his first millions. He has no concern for any of his workers, makes so much money yet pays a little and can sack any of them just by mere hear-say yet he claims he cares for much for his worker. He should be better reminded that God

cannot be mocked. He may pass through this one but .......... and quote me.......Nemesis must surely catch up with him