The National Assemble has been enjoined to as a matter of urgency empower the Asset Management Corporation of Nigeria (AMCON) to go after recalcitrant obligors.

Sen. Rafiu Adebayo Ibrahim, the Chairman, Senate Committee on Banking, Insurance and other Financial Institutions, made the plea on Thursday in Lagos.

Ibrahim, who delivered a keynote address at the opening of a two-day retreat on the importance of AMCON Act Amendment Bill, said the corporation  had been up and doing.

He said AMCON had tried its best over the past seven years to resolve those debts, but was still encountering resistance from obligors.

He said that the only way AMCON could meet its mandate of achieving the mandate for which it was set up in 2010.

He said the Senate under,  the leadership of Sen. Olubukola Saraki, had no option than to urge AMCON to compile and publish the list of all debtors in major daily newspapers in the country.

The move, he said, would place before Nigerians who were holding the nation’s economy to ransom since they account for 80 per cent of AMCON’s N4.8trillion obligation.

He said that the Upper Chamber, as part of its oversight function, had decided that AMCON in its lifespan, must be given all the support it required to perform as expected by all Nigerians.

He, however, urged the management of AMCON to collaborate with the other relevant bodies to propose that the President issued  an executive order on seizure of assets of persons who were indebted to AMCON.

He said that Federal Ministry of Finance (FMF), office of the Attorney General of the Federation and Central Bank of Nigeria should champion the move for the order.

Ibrahim said the upper chamber planned to have serious discussions with major stakeholders such as the CBN, the FMF, the Nigerian Deposit Insurance Corporation (NDIC) and relevant committees from the legislature among others.

This, he said, would allow them to deliberate on issues hindering AMCON from performing optimally which include the funding of its model to enable the recovery agency finish its assignment.

“The Upper Chamber will at this stage bare its fangs by amending the AMCON Act because AMCON has been a key stabilizing and re-vitalizing tool in the Nigerian financial system.

“It will be supported by the legislature to enable the corporation achieve its statutory objectives,” Ibrahim said.

He said the legislature supported the proposed plan by AMCON to publish the list of the 350 obligors that accounts for nearly 80 per cent of the total huge debt of the corporation.

Earlier, the Managing Director of AMCON, Mr Ahmed Kuru, reminded the committee that failure by the corporation to recover its debt, principally owed to the CBN, could not be quantified beyond economic cost.

Kuru said that AMCON’s total debt obligation of N4.8 trillion represented more than 55 per cent of the 2018 national budget.

Given the current demands on the Federal Government, Kuru said he was convinced that the government could afford to check AMCON’s debt in the short term.

He said:“It was for that reason, AMCON, after seven years of negotiating with the obligors with no commensurate recovery result, has decided to change its strategy.

“The corporation now pays strict attention to enforcements as a way of compelling, especially the recalcitrant obligors to come and pay up their debts.

`One of the major areas for amendment is the matter of vesting proprietary interest of all collateral assets acquired by AMCON from commercial banks.

“The proposed amendment will have retrospective effect.

“The vesting of proprietary interest of all collateral assets in the resolution vehicle was implemented in Malaysia and was instrumental to their success in recovering debt obligations.

“Our second challenge has to do with the disposal of assets due to the economic downturn.” (NAN)

Source: http://thenationonlineng.net/amcons-n4-8trn-debts-must-be-recovered-senate/

Publish is NOW

These guys were buying up non performing loans without having control over asset? These companies were already in default so its better to go after assets. No wonder these guys have been jerking yall around for 7 years lying about repayment plans. The list is seconday make sure you get this amendment done first.

`One of the major areas for amendment is the matter of vesting proprietary interest of all collateral assets acquired by AMCON from commercial banks.

Publishing or shaming won't make any difference , sieze their assets

Govt shouldn't after their assets instead

Watch carefully when the list is released 90% of that list would be PDP members. Ben Bruce name number 1. After being indebted with our common wealth you'll come on twitter and social media to preach common sense. What else could kill a nation economy more than this, after securing a credit facility worth billions but refuse to repay for others to benefit too.

Articles like these never gets traffic or enough interests from the lazy 9ja youths. These are news that can empower them, instead they go about wasting their time on irrelevant news and stories.

The average Nigerian youth isn't armed with the needed requisite and platform to be interested in powerful information like this.

They're too bereft and lacking in the mechanisms / tools needed to effectively process technical problems requiring strategic solutions.

Aren't the youth supposes to be the future leaders? BS! Instead they blame their current leaders while their future is being bought!

Hmmm

Ben Bruce is standing on this table

It will help... Even with this news most of them have started running from pillar to post

Who can please summarize, don't call me lazy youth cos I'm not

.

Nigeria politicians just like debtors have no shame.
In fact the will celebrate seeing their names on the dailies!
The Gov't must carefully study their open and hidden assets and do the needful
but can politics of "Paddy mi" allow it?

Publish them!
I guess the names there will predominantly be oppositions against this govt. But who cares? Who dem epp?

k. hope it wl not be like the looters list that ws promised n yet to be published.

Please is anyone else finding it difficult opening pages on Nairaland? Pages don't load easily.

I don't understand AMCON's modus operandi.

They take over those companies, seal them, render them unproductive leading to more unemployment

Taking over company should not lead to closure but only change in management

AMCON should go ahead please and not only stop at that. They should prosecute those found culpable to serve as deterrent. The major reason why those in people in government continue looting is there is no consequence for their action. Once they are being jailed and shamed, things will be different.

Twitter Senator Ben Bruce will surely be on the list.

RevenGeMission:
Publishing or shaming won't make any difference , sieze their assets

I concur.

KenOne:
Watch carefully when the list is released 90% of that list would be PDP members. Ben Bruce name number 1. After being indebted with our common wealth you'll come on twitter and social media to preach common sense. What else could kill a nation economy more than this, after securing a credit facility worth billions but refuse to repay for others to benefit too.

What else were you expecting? PDP members have been looting our common wealth for 16 years. APC just started theirs and I believe the day of reckoning isn't too far off again.

modelmike7:
Publish is NOW

Why? But my name is on the list. Please tamper justice with patience until I can pay up.

Common sense senator representing his constituency on Twitter is one of them.

you'll be surprise that a vast number of the businessmen and politicians condemning the govt for a failed economy will feature prominently on the list of debtors, how they want the economy to prosper when they have seized money that can help to prosper it, beats my imagination

mofos pay up your debt...

Ifeanyi Uba, number 1 on the list
Silver Bird(Mr uncommon sense)
Arik Air
Aero Contractor

TrumpedL:
I don't understand AMCON's modus operandi.

They take over those companies, seal them, render them unproductive leading to more unemployment

Taking over company should not lead to closure but only change in management

Bloody liar
Most you guys just post rubbish on the internet.

Do you work in AMCON or in any of the said companies?

I work for AMCON and can tell you AMCON has been very very fair in dealing with them.

AMCON even still release additional funds to resuscitate some dead companies and also pay salaries. Why do you think AMCON is carrying up to N5trillion in debt?

AMCON is not shutting down any companies. The one you may know has some peculiarities surrounding it. I don't want to mention name, cos it would turn to another thing

And who is going to buy these assets in an economy that is still in recovery post recession?
As for obligors who clearly don't seem bothered about the seizure of their non performing assets, AMCON should seize their collateral assets as well as provided by the banks.
That is what truly makes these rich people scared.

TrumpedL:
I don't understand AMCON's modus operandi.

They take over those companies, seal them, render them unproductive leading to more unemployment

Taking over company should not lead to closure but only change in management

Sometimes, its not as easy as that.
AMCON acts as a Receiver Manager and through their legal team, take over the companies and all financial information.
Wading through the exact financial mess of some companies take a while and afterwards you find that some do need to just be shut down pending when the obligors (some of whom occasionally come to beg the body), can provide most of the debt owed the bank over an agreed period.
Its not always an open and shut case.

Elnino4ladies:
Ben Bruce is standing on this table

That is about to be shaken!

Senator bruce nd kashamu dey der for sure

Twitter Senator is among the debtors again