The Assets Management Corporation of Nigeria, AMCON, has taken over Capital Oil and Gas Limited in line with its mandate to recover the toxic assets of banks and further help in strengthing the industry.
Capital Oil is one of the organisations that is exposed to banking facilities following a stress test carried out by the Central Bank of Nigeria(CBN) in 2009.
AMCON, said the development followed a resolution reached and subsequently adopted as terms of settlement in a suit number FHC/ABJ/CS/714/2012 filed at the Federal High Court.
It said one of the key conditions of the settlment, permits it to take over the executive management of the company for a period of two years, stressing that the take-over was necessary to ensure seamless operations of the company, drive and improve its operation.
Meanwhile, Patrick Ifeanyi Ubah, the Chief Executive Officer, has relinqusihed his role as the CEO to pave way for the emergence of a substantive Managing Director that would be appointed by AMCON in the future.
Information from The Nation was used in this report.