Micmerah International Agency Limited has been taken over by Asset Management Corporation of Nigeria (AMCON). The move was ordered by the ruling of a Federal High Court sitting in Awka, Anambra State.
The Federal High Court’s Justice I.B. Gafai ordered that the business and assets of Micmerah International Agency Limited should be taken over by AMCON. To effect the order of the court, AMCON appointed Chief Tagbo Anieto as receiver/manager over the assets.
Why the Court ordered the take over
Micmerah International Agency Limited is said to be owing over N1 billion, even as AMCON‘s attempt to resolve the debt crisis was frustrated by the prime promoter of the company, Mike Emerah. This resulted in a legal action against the company.
The Non-Performing Loans of Micmerah International Agency Limited in various banks have been taken over by AMCON; in line with its mandate under the AMCON Act.
According to AMCON in a statement, Anieto will on behalf of the regulator, take over and manage the Micmerah International Agency Limited business. The company is located in Onitsha, Anambra State.
“IN COMPLIANCE WITH THE COURT ORDER, AMCON EARLIER TODAY THROUGH THE RECEIVER/MANAGER TOOK OVER THE BUSINESS AND ASSETS OF MICMERAH INTERNATIONAL AGENCY LIMITED. JUSTICE I.B. GAFAI, WHO PRESIDED OVER THE MATTER GRANTED AMCON THE FULL POSSESSION AS WELL AS POWER OF SALE OVER THE ASSETS OF MICMERAH INTERNATIONAL AGENCY LIMITED NOW IN THE CUSTODY OF AMCON.
“ALL EFFORTS TO PEACEFULLY RESOLVE THE LOAN WERE FRUSTRATED BY CHIEF MIKE EMERAH, THE PRIME PROMOTER OF THE COMPANY, WHICH LEFT AMCON WITH NO OTHER CHOICE THAN TO SEEK JUSTICE IN THE COURT OF COMPETENT JURISDICTION.”
Meanwhile, the Head, Corporate Communications, AMCON, Jude Nwauzor, said the Judge’s order was expected, adding that AMCON‘s interest is not usually to go through the court. Instead, it tries to resolve the case amicably. However, when all options have been applied, the court is the last solution.
“WE SAW IT COMING BECAUSE THE SAID DEBT IS LONG OVERDUE. AS A RESPONSIBLE CORPORATION, BEFORE WE GET TO THIS STAGE WITH ANY OF OUR OBLIGORS, WE MUST HAVE PATIENTLY TRIED TO RESOLVE THE MATTER WITHOUT GOING TO COURT.
“ANYTIME WE END UP TAKING OVER ASSETS BY THE ORDER OF THE COURT SUCH AS IN THE CASE OF MICMERAH INTERNATIONAL AGENCY LIMITED, IT MEANS ALL EFFORTS BY AMCON TO GET THE OBLIGOR TO AMICABLY REPAY THE INDEBTEDNESS HAVE PROVED ABORTIVE.
“WHEN YOU HAVE EXHAUSTED ALL AVENUES OF PEACEFUL RESOLUTION, THERE IS NO OTHER OPTION AVAILABLE TO AMCON THAN WHAT HAS EVENTUALLY HAPPENED, WHICH IS THE COMMENCEMENT OF ENFORCEMENT ACTION AGAINST MICMERAH INTERNATIONAL AGENCY LIMITED AS MANDATED BY THE COURT AND AS PROVIDED UNDER SECTION 49-52 OF THE AMCON ACT. IF NOT, IT WOULD BE DIFFICULT TO TAKE OVER THOSE ASSETS BECAUSE THE OWNER IS VERY INFLUENTIAL IN ANAMBRA STATE.”
The takeover of Micmerah International Agency Limited is in line with AMCON’s resolution of enforcement actions against recalcitrant and hard-core obligors that don’t want an amicable settlement.