The Asset Management Corporation of Nigeria (AMCON) has announced a significant milestone in its debt recovery efforts, having recouped over N2.1 trillion since its inception. Despite this substantial achievement, the corporation faces ongoing challenges, including over 2,000 cases currently in court, as some debtors owe nearly N5 trillion. AMCON has also raised concerns that some borrowers are not utilizing funds for their intended purposes, further complicating recovery efforts.
These details were disclosed during a press conference in Lagos by Jude Nwauzor, AMCON’s Head of Corporate Communications. The conference specifically addressed the substantial indebtedness of Arik Air Limited (in Receivership) and its owner, Sir Johnson Arumemi-Ikhide, to AMCON.
AMCON reaffirmed its unwavering commitment to recovering the N227.6 billion owed by Arik Air Limited and Sir Johnson Arumemi-Ikhide, amidst persistent legal battles and allegations of mismanagement.
Nwauzor emphasized the critical role of the media in AMCON’s recovery mandate. “At AMCON, we see the Media as very strategic to our recovery mandate because most of these obligors run to the media with some skewed narratives in their desperation to make AMCON look bad,” he stated. He further asserted that these debtors have negatively impacted the Nigerian economy and should not be allowed to evade their responsibilities. “The media must not allow them to eat their cake and have it,” he urged.
AMCON’s management believes that enhanced collaboration with the media will yield positive outcomes for the nation, particularly in holding recalcitrant debtors accountable.
Nwauzor highlighted that while numerous Nigerians and companies fulfill their financial obligations, AMCON continues to encounter resistance from debtors unwilling to repay their debts without legal confrontation.
Among these debtors is Arik Air Limited, an airline company owned by Sir Johnson Arumemi-Ikhide, who also promotes Rockson Nigeria Limited (a power infrastructure company), Ojemai Farms Limited, and Ojemai Investment Limited. “These companies’ debts were transferred by various banks to AMCON due to their non-performance, with a total indebtedness of N455,171,764,772.80 as of December 31, 2024,” Nwauzor explained. Specifically, Arik Air owes AMCON N227,637,469,394.34; Rockson Engineering owes N163,502,837,397.75; and Ojemai Farms owes N14,031,457,980.71.
Read Also: Nigeria Among Top 3 African Debtors: Afreximbank Report Reveals Rising External Debt
Nwauzor made it clear that despite any smear campaigns against AMCON, these debts must be recovered. He acknowledged the challenges involved in debt recovery, stating, “The leadership of AMCON knows that there is no nice way of recovering debt. For that, obligors go to any length to assassinate the characters of both AMCON staff and management. They malign the name of AMCON and intimidate and harass our personnel with every arsenal at their disposal.”
AMCON has consistently emphasized the national importance of its mandate. “Repeatedly, AMCON has made the point at every opportunity that all stakeholders, including the media, must view the AMCON mandate as one of serious national importance,” Nwauzor reiterated. He warned that if AMCON fails to recover the substantial debt of over N4 trillion, it will become the responsibility of the Federal Government, ultimately burdening taxpayers.
The implications of this situation extend beyond mere financial figures. If these debts are not recovered, it could strain public resources, potentially impacting government spending on essential services like healthcare, education, and infrastructure. This scenario underscores the human angle, as the actions of a few individuals could affect the well-being of the broader population.
As a news writer, I see this as a critical juncture for Nigeria’s financial stability. The effectiveness of AMCON’s recovery efforts will not only impact the corporation’s balance sheet but also send a message about accountability and the rule of law in the business sector. The ongoing legal battles and the scale of the debt highlight the complexities of financial management and the potential risks to the economy when large debts go unpaid. It is imperative that AMCON continues its work diligently, and that the legal system supports these efforts to ensure a fair and just outcome for all stakeholders involved. The recovery of these funds could represent a significant boost to the Nigerian economy, providing resources that could be channeled into development projects and improving the lives of ordinary citizens.
