Director and CEO of Asset Management Corporation of Nigeria (AMCON), Mr. Gbenga Alade, has disclosed that the agency’s debt recovery efforts are being stalled by over 3,000 court cases.
He made the revelation while speaking at the Stakeholders’ Retreat with the Senate Committee on Banking, Insurance, and other Financial Institutions.
While noting that after 14 years of existence, the agency was still pursuing over N5 trillion loans, he urged the judiciary to expedite the adjudication of AMCON-related cases within the 60 to 90-day timeframe stipulated in the AMCON Act.
Alade pointed out that the support of the judiciary is critical in addressing AMCON’s extensive backlog of over 3,000 cases.
He stated that the Senators also have a role to play in raising awareness among government agencies about the risks associated with engaging with debtors (contractors) who have outstanding liabilities with AMCON.
Alade disclosed that in the last 14 years, AMCON recovered approximately N2.011 trillion comprising 44 per cent in cash recoveries and 56 per cent from sale of proprietary assets, clawback and repurchases, among others.
He added that the corporation has successfully disposed of assets valued at around N651 billion since inception, saying this has contributed to job preservation and business rescues across Nigeria.
Alade added that AMCON paid N2.929 Trillion to the Central Bank of Nigeria (CBN) between 2013 and 2023, including contributions to the Sinking Fund by other Deposit Banks and AMCON recoveries.
As the extended tenure of AMCON elapses in 2026, Alade noted that a premature closure of AMCON could lead to a resurgence of non-performing loans and potential bank failures.
“One wonders if any lessons were learned from activities of the past,” he said.
Chairman of the Senate Committee on Banking, Insurance, and other Financial Institutions, Senator Adetokunbo Abiru said efforts must be made to recover the tax payers’ money.
He said the panel is focused on helping AMCON recover outstanding debts and praised the corporation for stabilising the banking industry, saving thousands of jobs, and restoring confidence in the financial sector.
Abiru, however, said AMCON was not designed to be a permanent part of the country’s financial system, noting that the agency is expected to close in 2026.
“So, we now stand at a pivotal moment where we must transition beyond AMCON as it is near impossible for the corporation to recover the substantial loans by 2026 when it is expected to wind down,” he added.
