AMCON goes after loan debtors, recovers N307 billion in two years
- AMCON has declared the recovery of N307 billion from loan debtors in Nigeria
- The Corporation has urged the government and its agencies not to transact business with any of the debtor companies
- The committee chairman indicates that 2022 recovery is already in the positive mark
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The Asset Management Corporation of Nigeria has disclosed that it recovered a total of N307 billion in debts between 2020 and 2021.
According to Punch, AMCON revealed this in a report to the Federal Government by an inter-agency committee set up to recover debts owed to the government. The committee which is led by the Chairman of the Independent Corrupt Practices Commission (ICPC), Prof. Bolaji Owasonoyem while delivering its interim report on Wednesday, November 10, 2022, to Vice President, Yemi Osinbajo in Abuja highlighted the work of the committee.
The report urges the implementation of applicable laws that would ensure debtor companies are excluded from benefitting from government projects and contracts until they are cleared by AMCON.
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In the report, Owasonoyem noted that AMCON had made outstanding recoveries from debtor companies between 2020 and 2021. He said that AMCON observed a 10% increase in the recovery process across different asset classes. He added that N146 billion was recovered in 2020, while N161 billion was recovered in 2021. The total sum for both years in review amounts to N307 billion, as he indicates that 2022 is already looking positive.
He urged the government and its agencies not to transact business with any of the debtor companies unless their debt status is verified with a clearance from AMCON. He added that the committee will continue to work towards ensuring debts are recovered.
It would be recalled that the committee was unveiled in September 2019 with a mandate of reviewing the status of debt owed to AMCON, collating information about respective debtors and their debt statuses, explore legal strategies to recover the outstanding debts, amongst others.
Owasonoyem stated that even though the committee commenced work immediately after the inauguration, activities were however slowed down by the emergence of the COVID-19 global pandemic in 2020 and 2021.
AMCON insist on publishing List of Notorious Debtors
In the past, AMCON has threatened to publish the names of notorious debtors in different national dailies. The naming and shaming gesture is seen as a way to get the loan defaulters to redeem their debts.
Through the years, the Corporation has adopted different methods to recover loans from debtors. It once formed a task force in collaboration with the Nigerian Financial Intelligence Unit (NFIU), the Economic and Financial Crimes Commission (EFCC) and the Independent Corrupt Practices Commission (ICPC) to achieve its goals.
Unfortunately, the debt burden still remains on the high side as many loan defaulters remain recalcitrant even in instances where it is obvious they have the means to repay the loans.
While speaking at a stakeholders symposium held in Niger State in 2021, Senator Uba Sani, Chairman of the Senate Committee on Banking, Insurance and other Financial Institutions boldly declared that prominent Nigerians were frustrating the loan recovery efforts of AMCON.
Source: Legit.ng
