RECEIVERSHIP UNDER THE AMCON (AMENDMENT) ACT 2019: A CRITIQUE

Abstract

The 2019 Amendment to the Asset Management Corporation of Nigeria (AMCON) Act represents a pivotal shift in the legal framework governing debt recovery and corporate restructuring in Nigeria. This paper critically examines the implications of the amendment on debtor companies, secured creditors, and the broader insolvency landscape. Key innovations, including the prioritization of corporate rescue, mandatory independent asset valuation, the introduction of advisory committees, and the exemption of hive-down transactions from statutory fees, are analyzed to assess their efficacy and challenges. While the amendment aligns with global best practices by promoting transparency and equity among creditors, it also introduces procedural complexities and potential delays in asset realization. Through a robust critique of these provisions and their practical application, this paper provides actionable recommendations to optimize the amendment's impact. It argues for enhanced operational guidelines, strengthened oversight mechanisms, and judicial support to address emerging challenges. By doing so, the paper contributes to the discourse on insolvency law reform and offers insights for other jurisdictions seeking to balance creditor rights with corporate survival.