The Managing Director/ CEO of Asset Management Corporation of Nigeria (AMCON),. Gbenga Alade, has said that obligors of the Corporation damaged the Nigerian economy because they never intended to repay the loans they borrowed from various banks.
Alade, who spoke yesterday at a media chat in Lagos, said AMCON was determined to hold all the debtors accountable for their obligations. “Unfortunately for them, we were told of this trend before we assumed office, so we are not deterred by these antics. Our appointment is a call to serve the motherland, and we will deliver that with all humility and sincerity of purpose.”
The AMCON chief admitted to some of the difficulties faced by the debt recovery agency as a result of, in his word, “the high profile status of the debtors,” some of whom, he said, are occupying high elective political offices.
As he put it:: “Dealing with AMCON’s recalcitrant debtors is not easy, especially with such debtors who are in government, holding very high positions across different decision-making portfolios in governance in the country,” adding, “it is one of the most challenging tasks that I have ever faced in my career.”
He however assured that, “AMCON, under the current Executive Management with my humble self in the saddle, will continue to go about our recovery mandate with the fear of God, love of country, and will follow the rule of law. He admonished the media to be weary of any information brought their way, saying, “no matter the skewed narration these obligors come to give to you in your different newsrooms; kindly take it with a pinch of salt.
I hear some of them saying that if AMCON stops today, they will go scot-free, but don’t forget that the money is our money and your money, that’s why we must cooperate to make sure that they pay this money, Alade stated.
The AMCON chief said the President has mandated the Corporation to go and recover all they could as soon as possible, and that they should be aggressive in undertaking the task.
Alade, announced the lifting of the ban on sales of AMCON assets, saying already, some high profile assets have been sold.. “The last time we met, we told you there was a ban on asset sales, but today, with the Board now in place, the sale of assets by AMCON has been lifted, and consequently, we have sold some high-profile assets running into several billions of Naira.”
He also spoke about the status of some of the agency’s assets under its management, including Arik Air, Aero, Ibadan Disco (IBEDC), among others.
He said: Arik Air (in Receivership) is returning to profitability, and our engagements with AfreximBank are yielding positive results. Aero Contractors,” he continued, “ is also delivering massive value in the country. As of today, Aero is the only airline in Nigeria with an MRO (Maintenance Repair and Overhaul), adding, “ that can only be the result of effective and prudent management.”
Alade said the divestment of IBEDC ( Ibadan Electric Distribution Company) is almost completed and that AMCON would soon hand over the company to the preferred bidder, adding that even as the current leadership of AMCON has stretched the bidders to get the best and most realistic value, there are still some distractions out there.
“We have also commissioned some foreign asset tracers who will help us locate where some of these obligors have hidden their assets across the globe in a bit to ramp up revenue for government.”
Alade said, AMCON’s recovery efforts have been strongly supported by President Bola Ahmed Tinubu, the judiciary, the Central Bank of Nigeria, the Federal Ministry of Finance and the Attorney General of the Federation, as well as the Economic and Financial Crimes Commission (EFCCC, the Police, the Independent Corrupt Practices and Other Related Offences Commission (ICPC), the National Assembly, and a host of other sister agencies of the government.
He restated AMCON’s mandate to legally manage Non-Performing Loans (NPLs) of banks by offloading the toxic assets from their books and injecting fresh funds, aligning with corporate insolvency restructuring principles, saying with this mechanism, bank depositors would retain their deposits because they have confidence in the financial system. assuring banks’ ability to honour their obligations, with AMCON managing the acquired Eligible Bank Assets (EBAs) preparatory to their disposal.
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