Federal High Court Establishes Insolvency Unit

Federal High Court Establishes Insolvency Unit

The Federal High Court of Nigeria has officially launched an Insolvency Unit to enhance and modernize insolvency proceedings in the country. This initiative, spearheaded by the Chief Judge, Hon. Justice John Terhemba Tsoho, aims to align the court’s operations with evolving legal demands and ensure compliance with relevant laws governing insolvency matters……….READ MORE

According to a statement issued on Monday by the Court’s Chief Registrar, Mr. Sulaiman Amida Hassan, the unit was established in accordance with key legislation, including the Companies and Allied Matters Act (2020), the amended Asset Management Corporation of Nigeria (AMCON) Act (2019), the Nigeria Deposit Insurance Corporation (NDIC) Act (2024), and the Bankruptcy Act (2010).

The newly formed Insolvency Unit will oversee the implementation of provisions related to Company Voluntary Arrangements (CVA), administration, receivership, winding-up processes, and various corporate restructuring mechanisms.

The statement further emphasized that the unit was created to align with global best practices in insolvency management while providing specialized, standardized, and efficient services to insolvency practitioners. Additionally, it will offer a dedicated supervisory and enforcement channel to ensure compliance with insolvency regulations.

“This marks a significant milestone in the modernization of insolvency practice in Nigeria. The unit will also provide fast-track services to facilitate the effective execution of its mandate,” the statement noted.