The management of Asset Management Corporation of Nigeria (AMCON) has blamed its inability to dispose the assets under its custody on poor valuation by prospective buyers.
Thus the management has advocated gor ‘AMCON Market,’ which it said would involve key players in valuation, insurance, legal among other strategic stakeholders.
AMCON has a stockpile of assets, which it is finding difficult to dispose in the regular open market. The assets cut across critical sectors of the economy such as real estate, energy, transportation and aviation, maritime, agriculture and manufacturing just to mention a few.
Dr. Eberechukwu Uneze, an Executive Director with AMCON made the call while declaring open a one-day sensitisation forum for AMCON’s Valuers & Receiver Managers in Lagos. The conference is part of AMCON’s renewed strategy to continually engage different professionals whose practice directly impact on its recovery activities. The conference is themed “Valuation of AMCON assets: The Imperatives of Competence, diligence and commitment.”
Dr. Uneze, who represented the Managing Director/Chief Executive Officer of AMCON, Mr. Ahmed Kuru, said the creation of the proposed AMCON market would help address a lot of irregularities that affect the outcome of valuation in the country. He said, “We are using this opportunity to appeal to the conscience of valuers to the realities and the negative implication of wrong valuation to the recovery effort of AMCON. When you carry out this assignment as valuers especially when it relates to AMCON assets, please make use of the appropriate methodology. When you are appointed as valuers for AMCON please don’t just look at it as a business; kindly consider it as a national assignment because we owe it a duty to Nigerians to recover these debts as quickly as possible because AMCON is not here in perpetuity. Your contribution would help strengthen the hands of AMCON to enable the corporation realise its mandate.”
He said again, “The feedback we get from some of our key stakeholders is not palatable. Some of them have come to us with the allegation that some obligors go to the extent of trying to influence the decision of some valuers. That is very wrong. Such sharp practice would not help our recovery mandate. It is also not good because the money AMCON is recovering belongs to Nigeria. That is why we are calling for the creation of an AMCON market because the implication of the outcome of your valuation has very huge impact on our mandate.”
In his own contribution, Chief Mike Igbokwe SAN, called on the leadership of AMCON to engage only tested valuers with the required expertise to be able to do the right job, which he said would help the corporation in its recovery efforts. He however cautioned firms that are into the business of valuation to be professional in their approach as whatever valuation reports they carry out can also be tested by other firms, which could rubbish the image of such a valuation firm that submitted unprofessional report that did not follow proper methodologies ab-initio.
The conference also featured presentations and contributions from Mr. Nosa Aisedion, AMCON’s Head of Valuation and Insurance; Mr. Aliyu Kalgo, Head of Asset Sales, AMCON; Mrs. Iyatum Adode Kobiti, Group Head, Corporate Services and Mr. Sulaiman Abdul Majeed, Head, Energy Department. Others include Prof. C.K Agomo of the University of Lagos; Mr. Talmiz Usman; Mr. Ralph Opara, past president Institute of Loss Adjusters; Prof. Bioye Aluko of Obafemi Awolowo University and Mr. Osy Chijoke Kamalu of Osy Kamalu Associates, just to mention a few.