A lawmaker Senator Uba Sani of Kaduna Central has applauded President Muhammadu Buhari for signing into law, the Asset Management Corporation of Nigeria (Amendment No. 3) Bill, 2021.
Sani said the new Act would remove obstacles to the smooth operation of AMCON and safeguard the banking sector and the economy in trying times.
He explained that “his motivation for sponsoring the Bill along with Senator Bamidele Opeyemi was the determination to assist in removing the impediments to AMCON’s optimal performance and checkmate individuals who derive joy in sabotaging the economy through toxic loans.”
Some of the objectives of the Act he said, include, to allow for a more flexible, industry determined tenor for one of the key funding options of AMCON in order to enable it to carry out its functions effectively and to redefine some terms used in the original Act.
“The amendment also aims to allow the Central Bank of Nigeria (CBN) to recommend to the National Assembly proposed tenors for the funding of AMCON as well as allow the AMCON, with the approval of the CBN, propose extensions to this key funding aspect of AMCON referred to as the Resolution Cost Fund,” Senator Uba noted.
Excited Uba Sani said: “This is one Bill (now an Act) that gladdens my heart. It is my humble way of giving back to long-suffering Nigerians; innocent depositors who have been at the receiving end of bad bank debtors.
“This amendment will strengthen the hands of AMCON in asset recovery. AMCON will be reenergized to tackle the problem of toxic loans. About 200 highly placed debtors have been employing different strategies and tactics to stall the repayment of loans running into trillions of Naira. Cases drag on in courts for many years. AMCON has remained at the receiving end of this well laid and orchestrated act of economic sabotage.”
One of the key innovations in the Act according to lawmakers, is to allow AMCON to utilise the Credit Tribunal created under the BOFIA Act 2020 to recover loans which will speed up the loan dispute resolution cases in AMCON as this has proved to be a very lengthy process in the conventional courts.
“My profound appreciation goes to the Senate President, Ahmad Lawan and all Senators for their support and encouragement.
“I thank the Speaker, House of Representatives, and all Members for their prompt concurrence. We have collectively shown that on matters concerning banking stability, and by extension economic stability the National Interest is paramount,” he stated.