The Asset Management Corporation of Nigeria (AMCON), has revealed that the combined indebtedness of Arik Air, as well as other companies promoted by the owner of Arik Air, Sir Johnson Arumemi-Ikhide, Rockson Nigeria Limited (a power infrastructure company), Ojeimai Farms Limited, and Ojemai Investment Limited, has hit a staggering figure of N455, 171, 764, 772.80 billion as at December 31, 2024.
AMCON, in a chat with media men over the weekend in Lagos, stated that it will continue to ensure that all debtors are brought to book as the money owed is public money which is to be used for the good of all Nigerians.
The Managing Director of the corporation, who was represented at the event by the Head, Corporate Communications Department of AMCON, Mr. Jude Nwauzor, stated that “The task of debt recovery has been arduous and challenging. While several thousands of Nigerians and Nigerian companies have honoured their obligations, AMCON continues to face resistance from a number of debtors who are unwilling to pay without a fight.
“One of these debtors is Arik Air Limited (in Receivership), an airline company owned by Sir Johnson Arumemi-Ikhide, who is also the promoter of Rockson Nigeria Limited (a power infrastructure company), Ojeimai Farms Limited, and Ojemai Investment Limited. These companies’ debts were transferred by various banks to AMCON due to their non-performance, with a total indebtedness of N455, 171, 764, 772.80 billion as at December 31, 2024”.
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Head, Corporate Communications Department AMCON, Mr. Jude Nwauzor, while speaking to the media at a recent business luncheon with strategic media stakeholders of AMCON at the Radisson Blu Hotel, Ikeja, Lagos
Giving a breakdown, he revealed that “Arik owes AMCON N227,637,469,394.34 billion; Rockson Engineering N163,502, 837, 397.75 billion and Ojemai Farms N14, 031, 457, 980.71 billion.
“The fact of the matter is that no matter the smear campaign he is sponsoring against AMCON, these debts must be recovered one way or the other. The leadership of AMCON knows that there is no nice way of recovering debt. For that, obligors go to any length to assassinate the characters of both AMCON staff and Management, they malign the name of AMCON, intimidate, and harass our personnel with every arsenal at their disposal.
“Repeatedly, AMCON has made the point at every opportunity that all stakeholders including the Aviation Media must view the AMCON mandate as one of serious national importance. If at sunset AMCON is unable to recover the huge debt of over N4trillion, it becomes the debt of the Federal Government of Nigeria for which taxpayers’ monies will be used to settle.
“The implication is that the general public will be made to pay for the recklessness of only a few individuals who continue to take advantage of the loopholes in our laws to escape their moral and legal obligations to repay their debts.
“The question AMCON would want the media to ask Sir Johnson Arumemi-Ikide is if indeed he took these loans that led the banks to sell the loans to AMCON. If his answer is yes, the aviation media should also be interested in his effort(s) at repayment”.
Explaining why the receivership of Arik Air became inevitable, the AMCON boss said “Pre-receivership, Arik was plagued by insolvency and operational paralysis. The company’s financial condition was catastrophic. A KPMG report commissioned by AMCON revealed that Arik was balance-sheet insolvent, with a negative equity value of approximately ₦80 billion and total liabilities amounting to ₦289 billion as of December 31, 2016.
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L-R: Head, Legal Department, Asset Management Corporation of Nigeria (AMCON) Mr Albert Nwanozie; Head, Corporate Communications Department AMCON, Mr. Jude Nwauzor; Company Secretary, AMCON Mrs. Oyinlola Adebayo; Team Member of Corporate Communications Department of AMCON Mr. Kenneth Ohiri; Head of Litigation at AMCON, Mr. Norbert Enenmoh, and the Technical Assistant to the Managing Director/CEO of AMCON Mr. Mohammed Yusuf at a recent business luncheon with strategic media stakeholders of AMCON at the Radisson Blu Hotel, Ikeja, Lagos
“Additionally, PwC Nigeria, the company’s long-standing auditors (previously appointed by Sir Johnson Arumemi-Ikhide), conducted audits for the years 2015 and 2016. These audits confirmed that Arik had been technically insolvent since 2014, with its liabilities exceeding its assets throughout 2015 and 2016, up until the commencement of the receivership in 2017. As of December 2016, Arik’s negative shareholder capital stood at ₦139 billion, nearly equivalent to its debt to AMCON”.
Clarifying the issues, AMCON added that “Certain publications have raised the issue of the charge filed by the EFCC in relation to Arik’s issues, attempting to suggest that this absolves Sir Johnson Arumemi-Ikhide of his indebtedness to AMCON. However, the existence of a criminal charge does not detract from his obligations. No determination of criminality has been made in these matters, and AMCON remains resolute in its efforts to recover the debts owed by Arik and its shareholders.
“Sir Johnson’s refusal to settle the debts owed is a disservice to the commonwealth and the Nigerian people. AMCON assures the public that while the recovery process may take time, we remain committed to achieving an optimal recovery from Arik and its shareholders”.
