Monday, May 27Inside Business Africa

AMCON takes over Polema Industries assets over N500 billion debt

In effort to fulfil its mandate, the Asset Management Corporation of Nigeria (AMCON), said it has taken over a factory and other assets belonging to Polema Industries Limited, and its chief promoter, Emmanuel C. Obi, over an indebtedness of over half a billion naira.

The takeover comes on the order of Hon. Justice F.O.G. Ogunbanjo of the Federal High Court, Abuja, who granted AMCON possession over the company and its assets in Suit No: FHC/ABJ/CS/227/2020. Justice Ogunbanjo also ordered the freezing of all the bank accounts of the company as well as Obi’s.

In compliance with the order, AMCON, through Chike Adaka of Elite Law, the Debt Recovery Agent, who also received protective orders from the court on last week Wednesday, took effective possession of Polema Industries Limited, located at KM 5, Osisioma Industrial Layout, another one at 32/34 Faulks Road, and 31, Okigwe Road, all in Aba, Abia State.

In justification of the takeover, AMCON noted that peaceful negotiations with the obligor, which has been ongoing on for a long time had broken down completely. The loan in question was purchased from the defunct FinBank (now FCMB) in 2011, during the first phase of Eligible Bank Asset (EBA) purchases.

Since then, AMCON has continued to engage the obligor and has extended all sorts of soft landing to enable him to repay the debt as well as continue to run his business all to no avail.

The statement reads: “Once an order is issued by the court, AMCON is also mandated to carry out the order, which is what transpired in the case with Polema Industries Limited. It is also indicative of the fact that all avenues of a peaceful resolution of the matter has failed.

“The enforcement action against Polema Industries Limited, which is provided for under Section 49-52 of the AMCON Act 2019 as amended is the fate most recalcitrant obligors face.”

AMCON insists that the business lull occasioned by the outbreak of the dreaded Coronavirus (COVID-19) will not deter it from meeting its operational target for the year, as it has continued to go on rampage with the enforcement that are backed by favourable court orders.

In the last few days, the debt recovery agency has also taken possession of properties belonging to Unicorn Place & Leisure Services Limited, as well as Doggi Group Limited, over their unwillingness to repay the huge loans owed to the Corporation. More enforcements are expected in the coming weeks.

Source: Guardian

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