The Federal High Court of Nigeria has finally established an Insolvency Unit to modernize and update insolvency practice and proceedings in the country.
The unit was created by the Chief Judge of the court, Hon Justice John Terhemba Tsoho as parts of concerted efforts to ensure that the court meets the yearnings of all aspects of the laws in the country.
A statement by the Court’s Chief Registrar, Mr Sulaiman Amida Hassan, on Monday explained that the creation of the Unit was done pursuant to the provisions of the Companies and Allied Matters Act, 2020, Assets, Management Corporation of Nigeria (AMCON) Act, 2019 (as amended), Nigeria Deposit Insurance Corporation (NDIC) Act, 2024 and the Bankruptcy Act, Laws of the Federation of Nigeria, 2010.
He said that the functions of the Insolvency Unit are to oversee the effective implementation of the provisions of the enactments as they relate to Company Voluntary Arrangements (CVA), Administration, Receivership, Winding Up and various forms of restructuring of companies.
According to the statement, the unit was established in line with global best practices on Insolvency and to also provide specialized and standardized services on Insolvency matters.
Among others, the unit will also offer Insolvency practitioners a dedicated channel for supervisory and enforcement services.
“This is a milestone in the quest for modernization and updating Insolvency practice and proceedings in Nigeria.
“The Unit will also offer fast-track services required in the implementation of its mandate”, the statement said.