The Honourable Chief Judge of the Federal High Court, Hon. Justice John Terhemba Tsoho, has created a special Insolvency Unit within the court system, marking a major step towards modernising insolvency procedures in Nigeria.
The unit, created under the provisions of key financial and corporate laws—including the Companies and Allied Matters Act, 2020; the AMCON Act, 2019 (as amended); the Nigeria Deposit Insurance Corporation (NDIC) Act, 2024; and the Bankruptcy Act, 2010—aims to ensure efficient implementation of insolvency-related regulations.
According to a press release signed by Chief Registrar Sulaiman Amida Hassan, Esq., the Insolvency Unit will oversee matters such as Company Voluntary Arrangements (CVA), Administration, Receivership, Winding Up, and various forms of corporate restructuring.
The initiative aligns with global best practices and is expected to enhance the effectiveness of insolvency proceedings in Nigeria. It will provide specialised, standardised services and a dedicated supervisory and enforcement channel for insolvency practitioners.
“This is a milestone in the quest for modernisation and updating insolvency practice and proceedings in Nigeria,” the statement emphasised, highlighting the unit’s role in offering fast-track services to expedite corporate restructuring processes.
The establishment of the Insolvency Unit marks a significant step in strengthening Nigeria’s corporate governance framework and enhancing investor confidence in the country’s business environment.
