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HomeBusinessAMCON takes over assets of Glano Nigeria over N2.4 bln debt

AMCON takes over assets of Glano Nigeria over N2.4 bln debt

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The Asset Management Corporation of Nigeria (AMCON) has taken over assets belonging to Glano Nigeria Limited over a huge indebtedness of over N2.4 billion.

The takeover by the country’s ‘bad bank’ was sequel to the ruling of the Federal High Court Lagos Division.

A statement by the ‘bad bank’ on Monday said the court, having looked at the case in its entirety, especially regarding efforts AMCON made to resolve the loan amicably without cooperation from the obligor, finally decided to support AMCON’s takeover of Glano Nigeria Limited.

The statement by the spokesman of the corporation, Jude Nwauzor said in compliance with the enforcement order, AMCON took effective possession on Thursday, April 6, 2023, of Glano Nigeria Limited’s property located at No. 22 Woji Road, Port Harcourt, Rivers State, which had been under the management of Sterling Law Alliance since 2019.

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Apart from granting AMCON possession of the property situated at No. 22 Woji Road, Port Harcourt, the court also ordered AMCON to take all necessary steps required to realize the assets of the obligor within the judicial division, by seizing and taking any money, bank notes, cheques, bills of exchange, promissory notes, and all forms of bonds of security for money, with a view to realizing the huge outstanding debt.

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, but the obligor and his company, Glano Nigeria Limited, have remained recalcitrant and unwilling to repay the huge debt to the Corporation.

Recall that AMCON was created to be a key stabilizing and revitalizing tool aimed at reviving the financial system by efficiently resolving the non-performing loan assets of the banks in the Nigerian economy.

Recall that AMCON, which was established to recover bad debt on behalf of the federal government of Nigeria, has been in an endless court battle with Glano Nigeria Limited and its promoters since 2016, but has waited patiently till 2018.

(omayowa@globalfinancialdigest.com; Newsroom: +234 8033 964 138)

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