N2.4bn debt: AMCON takes over assets of Glano Nigeria

Following an order of Justice I. N. Buba of the Federal High Court Lagos Division, the Asset Management Corporation of Nigeria (AMCON) says it has taken over assets belonging to Glano Nigeria Limited over a N2.4 billion debt.

“In compliance with the enforcement order, AMCON on Thursday, April 6, 2023, took effective possession of Glano Nigeria Limited property located at No. 22 Woji Road Port Harcourt, the Rivers State capital, which had been under the management of Sterling Law Alliance since 2019,” Jude Nwauzor, the spokesman of AMCON said in an email to BusinessDay.

Apart from granting AMCON possession of the property, Nwauzor said the court also ordered AMCON to take all necessary steps required to realise the assets of the obligor within the judicial division, by seizing and taking any money bank notes, cheques, bills of exchange, promissory note, and all forms of bonds of security for money, with a view to realising the huge outstanding debt.

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“The case of Glano Nigeria Limited and its promoter has been a protracted issue because the loan was purchased during the third phase of Eligible Bank Assets (EBA) from United Bank for Africa (UBA) plc way back in 2013. Since then, AMCON has offered the obligor a good measure of olive branches and explored all avenues to resolve the matter amicably. Still, the obligor and his company, Glano Nigeria Limited remained recalcitrant and unwilling to repay the huge debt to the Corporation,” Nwauzor said.

Nwauzor added that, “The corporation eventually enforced on the properties on April 6, 2023, as ordered by the Federal High Court. The enforcement according to him was carried out in a seamless manner especially as the court had also directed the Nigerian Police Force, officials of the court, and other security agencies to assist AMCON in securing the assets.”

“Currently armed with the re-energised AMCON Act, which President Muhammadu Buhari signed into law, and backed by strong judicial support, the Management of AMCON led by Ahmed Kuru, managing director/CEO had since switched its recovery strategy to enforcement mode as a result of obligor’s antics of hiding under some technicalities of law to evade repayment. As a result, the government agency has been in some form of rapid response with its enforcement activities across the country regardless of some daunting recovery challenges posed by obligors.”