'Debt is a threat to economy'- AMCON pursues 350 debtors owing N3.96 trillion

In the first ten years of operation, Asset Management Corporation of Nigeria recovered N1.6 trillion from problematic debtors, leaving the corporation with an outstanding N3.96 trillion debt to pursue.

This is according to a statement on which was released on Tuesday and was signed by Jude Nwauzor, Head of Corporate Communications Department, AMCON.

Legit.ng earlier reported that the Asset Management Corporation of Nigeria disclosed that it recovered a total of N307 billion in debts between 2020 and 2021.

Recovered funds paid to the CBN

Lawan Kuru, the Managing Director, AMCON according to the statement said the corporation has so far recovered about N1.6 trillion out of total of N4.66 trillion in the more than 10 years of its existence, Punch reported.

There is still a long way to go, he continued. A little over 350 debtors represent N3.96 trillion, or more than 84% of the entire amount yet unpaid.

He stated: Our debt is in the balance sheet of the Central Bank of Nigeria, and therefore a threat to the economy. After recovery and disposal, funds are paid directly into our CBN account. Recovery and disposal of assets have so far contributed about N1.6tn towards settling our obligation.

More transactions, more legal issues

The statement further stated that Justice John Tsoho, the Chief Judge of the Federal High Court, was currently in London, United Kingdom, along with other Federal High Court judges from Nigeria, to participate in the annual training for this group of elite judicial officials, which was opened on Monday by Sarafa Isola, the High Commissioner for Nigeria in the United Kingdom.

An effective legal system, according to Tsoho, is the cornerstone of any civilised society. Thus, he asserted, that there is a need to be armed with the requisite aptitudes for efficient macro and microeconomic adjudication in the age of the internet.

Tsoho noted that increased online transactions and their associated economic value will result in a variety of legal problems. As a result, he said the court needs to be ready for this emerging technology.