Categories: Business

Nigeria: Ibadan Electricity Company Resolves Feud with AMCON

Strong indications emerged that the resumed negotiations between lawyers representing the Ibadan Electricity Distribution Company (IBEDC) and the Asset Management Corporation of Nigeria (AMCON) have put paid to the attempted takeover of the electricity distribution company.

Mr. Tunde Ayeni’s Integrated Energy Distribution and Marketing Limited is the owner of IBEDC.

But on January 20, 2022, it was reported that AMCON had taken over the control of the electricity firm through a receivership.

But a reliable source told THISDAY on Saturday that AMCON did not takeover IBEDC.

The source said IBEDC’s lawyers had been holding meetings with representatives of AMCON on how to resolve whatever dispute that is on the ground.

He explained that the outcome of the meetings was to be adopted as court pronouncement at the next sitting when the case comes up.

“AMCON was indeed at the IBEDC premises on January 20, but when the lawyers from both sides met and discussed, it was agreed that AMCON will be the one to announce the resolution of the issues,” the source said, adding that it was that understanding that made AMCON officials vacate the IBEDC premises on Friday.

The clarifications were in tandem with an internal memo signed by the company’s Chief Operating Officer, Mr John Ayodele, on Friday, informing the staff that investors in IBEDC were already in talks with AMCON on ways to resolve the issues, assuring them that the status quo would be maintained.

He also challenged the staff to be dedicated and to ensure that revenue collection and quality of service to consumers are not compromised.

Ayodele, who reportedly broke the news of the take-over of the distribution company by AMCON in an internal memo on January 20, 2022, stated in the Friday correspondence with the staff that “Further to the communication earlier sent on 20th January 2022, in respect of the above, kindly note that the investors have resolved on way forward with AMCON and the status quo ante maintained.

“On behalf of the board and management, I urge all of us to go about our normal duties, while we count on your unflinching commitment and dedication to ensure our revenue collection for this month and excellent service to consumers are not compromised going forward.”

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

The spokesperson for AMCON, Mr Jude Nwauzor could not be reached as calls and messages sent to his phone were not acknowledged at the time of going to press.

Festus Akanbi