The Asset Management Corporation of Nigeria(AMCON) has sought permission from the Federal High Court sitting in Abuja to possess the two houses of Maimako International Limited and others over their failure to pay outstanding N50 million debts in their loan agreement with Skye Bank (now collapsed into Polaris Bank) since August 12, 2008.
AMCON also asked Justice Inyang Ekwo in its Suit No: FHC/ABJ/AMC/1/2024, to freeze all the bank accounts belonging to the respondents pending the determination of its case.
The debt recovery agency argued that it is empowered by relevant laws to approach the court for a freezing order against any debtor’s accounts domiciled with financial institutions.
AMCON’s lawyer, Barrister Salimon Sarafadeen, contended that the defendants used its building properties located in Niger State as collateral/security in consideration of the overdraft facility granted them by the bank.
 AMCON explains further
In its motion, ex-parte seen by Nairametrics, AMCON’s legal team argued that it would be in the interest of justice if the respondents’ houses were seized in line with their loan agreement.
Sarafadeen stated,
“That as a fact, the 1st Respondents via the Board of director’s resolution dated 12th September 2008 accepted the overdraft facility as granted by Mainstreet Bank plc. A copy of the said Board resolution is attached herewith and marked Exhibit B.
- “That as a fact, the erstwhile Afri-Bank Plc (Now Mainstreet Bank Plc) via the offer of banking facility letter dated 26th day of August 2008 granted to the 1st Respondent renewed overdraft facility sum of N50,000,000.00 (Fifty Million naira only) payable within 90 days of drawdown. A copy of the offer letter is attached herewith and marked Exhibit C.
- “That as a fact, the erstwhile Bank PHB Plc (Now Skye Bank Plc), via offer letter dated 4th day of September 2008 granted the Respondent’s overdraft facility due and payable within 180 days. A copy of the said offer letter is attached and marked Exhibit D.
- “That as a fact, the various facilities granted to the respondents were not serviced by the respondents consequent upon which the Banks (Mainstreet Bank plc and Skye Bank Plc) classified as Non-performing loans (NPL) and thereafter was transferred to the Claimant/Applicant sometimes in the year 2011.”
Nairametrics learned that the case brought by AMCON this year awaits final determination by the court.
What you should know
- AMCON, a debt recovery agency, is empowered by law to help institutions recover outstanding debts if they are called upon to do so.
- But it must get that possessive power from the court, and this is why it institutes legal actions against suspected debtors.
