News
Senate panel justifies continued existence of AMCON despite challenges
The existence of the Asset Management Corporation of Nigeria (AMCON) despite the challenges confronting it is not misplaced, Senate panel on Banking, Insurance and Other Financial Institutions has stated.
AMCON is vested with the statutory responsibility amongst others, of recovering the non-performing loan hitherto disbursed by eligible financial institutions (banks) to their customers.
The Managing Director of the agency, Ahmed Kuru on wednesday led top officials of the agency to the Senate on to present his 2023 financial records and to defend the 2024 budget estimates.
Some lawmakers in the Senate panel had expressed dissatisfaction with the agency’s performance in the outgoing fiscal year wondering if it would not be better for the National Assembly to scrap it.
Senator Sani Musa, who is a member of the committee had expressed dismay that despite its huge liabilities, AMCON was not aggressive enough in its loan recovery drives.
He said, “Most of the loans were owed by individual companies which were never sanctioned and at the end of the day, the same company would go back to buy back their asset that AMCON had hitherto taken over. Are we going to continue like this?
“It is not only about defending budget, it is about seeing the effect of the Appropriation, we need to know whether it is working. Or are we just creating a job for those we can protect?
“Will it not be better to scrap AMCON since it seems to have lost its statutory mandate?
Speaking from the same perspective another member of the committee, Senator Jimoh Ibrahim, lamented the huge losses suffered by the assets recovery agency in the outgoing fiscal year.
Ibrahim said, “Your total comprehensive profit and loss, and it came in to a loss of N145bn. This calls for concern.
“Your net operating profit and loss is N126bn. What is responsible for all these big losses. You are created to collect bank loans from them.
“Even if you’re now regulators to the debtors, why are you incurring losses. Your balance sheet is not looking so good. Again, why are you buying cash-colateralised loans?”
Attempts by the Chairman of the Senate Committee, Senator Tokunbo Abiru, to defend the agency’s submissions did not go down well with some members and the panel had to dissolve into a closed session.
After about 30 minutes, the doors of the committee room were thrown open and Abiru addressed journalist on the outcome of the executive session.
Abiru said, “The committee has agreed that there is the need for a strong financial system stability hence agencies like AMCON is still desirable.
“We also believe that the role of AMCON is further underscored by the fact that it was set up using a model that it would help us to tidy up the challenges that we had in the financial system in the past.
“The only challenge that we had today is that we need to have a definite time that all the obligations that are hanging on the throat of AMCON must be redeemed.
“The conclusion is that we will continue to work with AMCON and other agencies to fashion out a model that would make AMCON openly wound down it’s obligation at the possible shortest time.
“There is no society that does not have AMCON in one form or the other. The only way we can resolve financial stability is through the creation of an entity like this and we need to ensure it’s success,” Abiru added.
Kuru told the panel that his administration had been able to recover about N648bn out of the agency’s total liabilities of N5trn as of 20th September, 2023.
News
Obidient Movement Denounces Fake Social Media Posts Targeting Senator Datti-Baba Ahmed
The Obidient Movement, led by Dr. Yunusa Tanko, has issued a press statement condemning the circulation of false social media posts attributed to Senator Datti-Baba Ahmed. The fabricated posts, which have gone viral, are described as part of a deliberate smear campaign aimed at damaging the Senator’s reputation.
The movement clarified that Senator Datti-Baba Ahmed does not operate any social media accounts, making all attributed posts entirely baseless. During a recent press conference, the Senator unequivocally dissociated himself from these claims and urged the public to disregard them.
“This is a targeted attempt to tarnish the Senator’s image and credibility,” Dr. Tanko stated.
The Obidient Movement has called on its supporters and the public to remain vigilant and proactive in addressing the issue. They urged people to ignore, counter, and report the false posts whenever they appear.
The statement concluded with an appeal for continued support and collaboration in combating misinformation, reinforcing the movement’s commitment to truth and integrity.
News
Senate Approves President Tinubu’s N1.767 Trillion Loan Request
The Senate has granted approval for a $2.09 billion (N1.767 trillion) loan requested by President Bola Tinubu to address the N9.7 trillion deficit in the N28.7 trillion 2024 budget. The decision was made during Thursday’s plenary, just 48 hours after the request was submitted to the National Assembly.
President Tinubu, in letters to both chambers of the legislature earlier this week, highlighted the importance of the loan for financing key projects and programs critical to national development.
Following the request, the Senate assigned its Committee on Local and Foreign Debts, led by Senator Aliyu Wammako (APC, Sokoto North), to review the proposal. Presenting the committee’s report, Senator Wammako described the loan as vital for implementing the Debt Management Strategy, reducing borrowing costs, extending debt maturity, and bolstering Nigeria’s external reserves.
The committee recommended raising the loan through Eurobonds or similar international financing instruments, subject to market conditions. It also suggested that any excess funds from exchange rate adjustments be directed toward capital projects in 2024 to support infrastructure and economic growth.
The Senate approved the loan unanimously, with no objections raised during deliberations. Deputy Senate President Jibrin Barau, who presided over the session, commended the Wammako-led committee for its swift and thorough handling of the proposal.
This loan approval is part of the government’s broader strategy to bridge fiscal gaps while focusing on developmental priorities and economic stability.
News
Finland Detains Pro-Biafra Agitator Simon Ekpa on Terrorism Charges
Simon Ekpa, a Finland-based pro-Biafra agitator, has been arrested and detained by the Päijät-Häme District Court in Finland on charges of inciting public crimes with terrorist intent.
The alleged offence reportedly occurred in Lahti on August 23, 2021. Finnish authorities apprehended Ekpa on Monday, November 19, marking another chapter in his history of legal confrontations.
A source confirmed Ekpa’s arrest, noting, “He was arrested three days ago. But this is not the first time. He will likely be questioned and released soon.” Ekpa was previously detained in 2023 on suspicion of fundraising fraud but was released the same evening.
The Finnish National Bureau of Investigation (NBI) has also requested the detention of four additional suspects in connection with terrorism-related charges.
Ekpa has gained notoriety for his leadership of a Nigerian separatist group advocating for an independent Biafran state in southeastern Nigeria. Finnish authorities allege that he used social media platforms to coordinate actions that resulted in violence against civilians and authorities in Nigeria.
Detective Chief Inspector Otto Hiltunen of the NBI stated that the investigation focuses on a Finnish citizen of Nigerian descent, born in the 1980s, suspected of public incitement to crimes with terrorist intent.
Meanwhile, the Nigerian government has continued to engage the Finnish government through the European Union (EU) to extradite Ekpa. In August, Nigeria’s Defence Headquarters emphasized the dual approach of diplomatic engagement and sustained military operations against the Indigenous People of Biafra (IPOB) and its armed wing, the Eastern Security Network (ESN).
Director of Defence Media Operations, Major General Edward Buba, reiterated the government’s resolve, saying, “The FG would respond appropriately to the Finnish Government through the EU. On the part of the military, troops would sustain operations against IPOB/ESN.”
Ekpa, who has represented Finland’s National Coalition Party (NCP) in local government, currently serves on Lahti’s public transport committee. Finnish authorities continue to investigate his activities, emphasizing the potential connection between his leadership role in the separatist movement and violent actions in Nigeria.
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