National Assembly To Establish Judges’ Task Force For Speedy Debt Recovery

The House Of Representatives Committee On Banking And Other Ancillary Institutions, has assured that it will establish a task force of Judges that will speed up the process of debts recovery from over 350 obligors across the country.

Chairman of the committee, Eze Nwachukwu Eze gave the assurance yesterday, in Enugu State during its 2024 stakeholders retreat with the Asset Management Corporation Of Nigeria (AMCON) which had “Revitalizing Asset Management For Economic Stability, Exploring Policy Changes and Legislative Support for AMCON” as its theme.

He regretted that over the years, obligors have hidden under legal technicalities to tie AMCON in Courts, exploring the loopholes in the statutes and the legal system, adding however that the committee remains committed to working closely with the corporation in the areas of asset recovery, debt resolution, or stakeholder collaboration.

“As lawmakers, we have a responsibility to provide the legal infrastructure that enables AMCON to fulfil its mandate effectively which includes reviewing existing laws, proposing new legislative measures, and ensuring that AMCON has the necessary tools to navigate the complexities of asset management,” he said.

He noted that the theme of the retreat is not only timely but also critically important especially now that the Nigerian economic landscape is facing myriads of challenges, ranging from high inflation and currency fluctuations.

“We must examine our current policies with a critical eye, identifying gaps that hinder AMCON’s operations and proposing reforms that will enhance its effectiveness, “he said. “We cannot fold our arms and watch the obligors continue to hold our economy to ransom,”.  

Earlier in his address, the Managing Director of AMCON, Gbenga Alade explained that out of the 12,743 loans purchased, only 350 obligors constitute more than 80% of the total purchased accounts.

“Out of the 350 obligors, about 246 are in various Courts with us and this has continued to pose a major recovery challenge to the Corporation,”. “Despite the challenges, actual contributions to the funding plan from AMCON stands at 34% as of December 2023,”.

He further stated that the corporation was also exploring alternative dispute resolution through mediation or arbitration to resolve disputes like engaging with the obligors through an open communication channel to understand their situation and negotiate repayment plans.

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