December 12, 2011
December 12, 2011
The Asset Management Corporation of Nigeria (AMCON) has said it had engaged 70 professional valuers to determine the appropriate values of assets and properties of borrowers that it had acquired from banks through loan purchase agreements.
A statement from AMCON at the weekend, quoted its Managing Director and Chief Executive Officer, Mr. Mustafa Chike-Obi, to have disclosed this, during the inaugural visit of the House of Representatives Committee on Banking and Currency to AMCON’s office in Lagos.
Chike-Obi explained that the engagement of professional valuers to evaluate all the properties spread across the country was part of AMCON’s commitment to ensuring that its assets were managed and disposed off in a transparent process such that the corporation would generate optimal returns for tax payers.
He reiterated that the ‘bad bank’ had invested N3.14 trillion ($19.6billion) so far, in the purchase of non-performing loans and recapitalisation of banks, adding that the corporation also had shares in nearly all the banks in the country and several quoted companies.
According to Chike-Obi, AMCON’s assets were primarily locked in the bad loans that it had purchased, saying that such assets would be realised upon enforcement of the loan agreements.
He however, pointed out that AMCON had engaged and advised some of the debtors to explore possible ways of resolving the bad debt either through loan restructuring or payment rescheduling.
Chike-Obi restated that the corporation now had over 9,000 loans under its purview and had developed institutional capacity to manage these efficiently and in the best interest of the general public, whose funds formed the basis of establishment of the corporation.
While outlining the administrative structures and operations of the corporation to the lawmakers, Chike-Obi reiterated the commitment of the corporation to transparent administration, stressing that AMCON would always respond positively to any enquiry from the lawmakers and the general public.
“We understand the need for legislative oversight and we will always respond positively. You don’t have to wait for formal occasions before asking questions. AMCON can be reached anytime so that we can provide answers to your concerns and help us pass these to your various constituencies,” Chike-Obi said.