N1bn debt: AMCON forecloses shutting Nigerian Braiding Manufacturers’ operations …Wins Businessday Excellence Awards
BY FRANCIS EZEM
Asset Management Corporation of Nigeria AMCON, the country’s public debt recovery agency at the weekend assured that it has no plans to shut the operational activities of Nigerian Braiding Manufacturers Limited NBM, over its N1billion indebtedness to the corporation, contrary to speculations.
NBML, a Kano-based textile manufacturing firm, was recently taken over by the corporation due to its non-performing loans AMCON purchased from some banks. Available data show that the textile company’s indebtedness to AMCON currently stands at over N1billion despite numerous overtures by AMCON for amicable resolution of the debt to which the company and its promoters have remained nonchalant over the years, a development left the corporation with no choice than to seek justice in court.
Meanwhile, the Managing Director/CEO of the corporation, Mr. Ahmed Kuru was among the lucky recipients of the Businessday Excellence in Public Service Awards 2018.
According to a statement signed by the Head of Corporate Communications of the corporation, Mr. Jude Nwauzor, the corporation approached the court and got an order to take possession of the company in line with the provisions of the AMCON Act, 2010 (as amended), through its Receiver Manager, Dr. Yakubu Fobur under whose supervision the company is billed to resume full production soon.
The statement also insists AMCON was set up to facilitate resolution of non-performing loans in the banking industry with a view to stabilising the nation’s economy; and as such, the corporation is dedicated to ensuring that the textile manufacturing company remains in operation under the management of the Receiver Manager and his team of experts who are expected to work closely with the promoters of the company to ensure that it returns to profitability within a short period.
This strategy, he stated further, would guarantee security of the large number of direct and indirect jobs provided by the company, while efforts would continue towards a definite resolution option.
Recall that the corporation had recently swore that it would deploy every legal instrument to recover all the non-performing loans it purchased from the various banks to save them from the imminent collapse then before its 2023 sunset date.
The AMCON boss was one of the 16 public and civil servants that were recognised and honoured by the newspaper, at the awards witnessed by the crème de la crème of the nation’s public service industry, which held at the Shehu Yar’Adua Centre, Abuja at the weekend.
The organisers said Kuru deserved to be celebrated because under his watch the Corporation has sharpened its focus on recovery of debts, while keeping a disciplined check on its operating expenses.
The newspaper added that the corporation under Kuru has made some ingenious decisions that have helped the government recovery agency a great deal. One of such, according to it was that the corporation resorted to using firmer resolution strategies as well as the special enforcement powers vested on it by the AMCON Act 2010 (as amended), which has recorded impressive success in compelling recalcitrant debtors, especially those that are politically exposed and business heavyweights, to meet their obligations.
In addition to its resolution mandate, AMCON through its interventions has saved several tens of thousands of jobs of Nigerians, who would have lost their livelihoods if their employers had been forced to close down, among other achievements.
In all, Kuru and 15 others, which include Mary Uduk, Ag. Director-General, Securities and Exchange Commission; Mr. Usman Gur Mohammed, Managing Director/CEO, Transmission Company of Nigeria; Ahmed Bobboi, Executive Secretary, Petroleum Equalisation Fund (PEP); Mr. Yusuf Kazaure, received the Businessday Excellence in Public Service Awards 2018, for distinguishing themselves in the performance of their duties in 2018.
It would be recalled that the Minister of Finance, Mrs. Zainab Ahmed, had recently praised the leadership of AMCON led by Kuru for doing all within its powers to recover bad debts from some individuals that are holding the Nigerian economy to ransom. The Minister had while reminding the public that AMCON was set up as a result of the global financial crisis, which destroyed the financial sector across the globe including Nigeria, however said she was happy because AMCON against all odds has been able to recover over N1trillion from inception to date.