AMCON Seeks Court Order Against Adamawa Government Over ‘N84m Debt’

The Asset Management Corporation Of Nigeria (AMCON), on Tuesday, appeared before a Federal High Court sitting in Abuja, seeking an order compelling the Adamawa State Government to pay it about N84 million debt allegedly owed Union Bank of Nigeria.

Defendants in the suit are the Executive Governor of Adamawa State, Attorney-General of the state, Commissioner Of Health, Permanent Secretary, Ministry Of Health, and the Ministry of Health Adamawa State, Yola.

AMCON counsel, Paul Okache Esq mentioned the case before the presiding judge, Inyang Ekwo on Tuesday.

But he said that the defendants had served him with counter affidavits and preliminary objections, and he would need time to reply to their processes.

On his part, Ekwo adjourned the case to July 26 for hearing, adding that even though the court would be on annual vacation same day, he would get the permission of the Chief Judge to hear the matter.

Speaking to our correspondent, Okache said that AMCON was standing in for Union Bank, which had notified the corporation about the said debt.

“It is purely recovery of debt…Union bank granted them some facilities some years back of which they failed to pay….so the liability has been transfered to AMCON for recovery,” he said.

According to AMCON’s statement of claim, seen by our correspondent, it alleged that the Adamawa State Ministry of Health had on July 2015 approached the Union Bank of Nigeria for an overdraft facility when the ministry needed financial assistance.

“The plaintiff avers that Union Bank Plc eventually raised the aforementioned overdraft facility,” it stated.

AMCON accused the current administration of Ahmadu Umaru Fintiri of not being willing to pay up the debt owed the bank.

As such, it sought the following orders:

“A Declaration of this Hon. Court that the Defendants are indebted to the Plaintiff to the tune of N84,084,848.56 only being the total debt owed the Plaintiff by the Defendants as at the August 2020.

“An order of this Hon. Court mandating the Defendants to pay the plaintiff the sum of N84,084,848.56 only being the total outstanding indebtedness.

“The sum of ten million naira (N10,000,000) only for the cost of bringing this action before the Hon. Court.”