To further raise investors confidence on investment procedures in Nigeria, and in its bid to address Nigeria’s poor ranking on the ease of doing business, the Corporate Affairs Commission (CAC) is currently working out modalities of its proposed bill expected to address business rescue and recovery proceedings.
“The Companies and Allied Matters Act (CAMA) since 1990 has not had a substantial review. In the new draft bill, there would be a business rescue and recovery proceedings that allow a temporary moratorium for financially distressed companies, to save jobs and businesses,” Bello Mahmud, registrar general of CAC, told newsmen in Keffi, Nassarawa State, during an annual retreat with the theme, ‘Tomorrows Registry Today.’
“The amendment will strengthen the regulatory and enforcement powers of the Commission. To this end, the Commission has put together a draft bill for the repeal of the Act and enactment of the Companies and Allied Matters Act 2016,” Mahmud said.
Furthermore, “The new draft bill would also ensure administrative proceedings committee that solves cases of disputes of company owners, while giving it a legal backing.”
The registrar general also explained that the new draft bill would build further on the appreciable successes recorded on the online registration portal, which had been launched since 2014, and further ensure the digitisation of company registration procedures and would be sent as an executive bill, after key stakeholders had made their input.
“The world is advancing, as such the company’s registration also needs to advance with the ultimate aim of ensuring better ease of doing business,” the registrar general said.
“The Bill to repeal the CAMA Act is on course. The draft bill has been hoisted in our website. We have also sent out copies to Nigerian Bar Association, Institute of Chartered Accountants and Institute of Chartered Secretaries to make their inputs before we could harmonise and present it as an executive bill,” he said.
Recall, the Federal Government in 2014 launched an online portal platform wherein customers log in, create account and submit their applications using an online platform. The new draft bill, the registrar general said, would further address some key legal issues that confronts the Commission constantly and further boost Nigeria’s ease of doing business.
Experts insist that modern registry is the type that eases assessment and other business transactions in such a way that people could access from the comfort of their homes, while providing registration platforms for busy entrepreneurs.
In respect to that, the registrar general said, “We are also understudying the UK registry and other advanced registry’s of the world to improve on our poor ranking on the ease of doing business.”
Speaking further on the online registration, he said, “An electronic certification system would also be worked out in ensuring people know the status of their registration and a certification code issued.”
Once the certification is done, the registration could be printed out from the comfort of one’s home. Once the certificate is approved and a code generated, you have the option of getting the certificate through the PTDF.
It would be noted that company’s registration in Nigeria started as far back as 1912. In the course of the movements of offices from place to place, files would have been confiscated, which analysts say digitisation of registration is key to attaining the standard of modern registry.
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