By By Blaise Udunze

THE Asset Management Corporation of Nigeria (AMCON) has taken possession of properties belonging to Senator Kashamu Buruji over an estimated N8,292,432.67 billion owed seven banks.
The AMCON Act allows it to take possession of assets of recalcitrant debtors while the recovery action is pending in the court.naira_notes
Recent reports on the social space indicating that AMCON had taken over Buruji’s hospitality businesses were confirmed by Daily Sun that the Senator may have forfeited his Best Western Hotel, opposite Lagos Bar Beach, to AMCON for a N5 billion loan he took from Access Bank some years ago, to build his business empire, which comprises Best Western Hostels, Hotel De Island, Island Motors, Nacoil and Kashmal Properties.
Although a reliable source at the corporation who spoke to Daily Sun on condition of anonymity on Monday denied AMCON took over the properties but confirmed that Buruji has failed to service his debt over the years, which makes him one of the delinquent debtors.
Buruji was among the delinquent debtors listed by AMCON in 2012 as a debtor to Access Bank.
Daily Sun findings showed that the Senator would have to abdicate his control and management of his Best Western Hotel so that proceeds derived by AMCON will be directed to offset the Access Bank loan.
Breakdown of the debts owed by the obligor, amount exposures, banks and the periods showed that Nacoil International Ltd is indebted to the tune of N391,228,042.78 in 2011, Nacoil International Ltd-N940, 723, 512.65 in 2010, Hotel De Island, Kasmal Properties, Island Autos and Nacoil are indebted to the tune of N6,122,312,551.47 to Oceanic Bank in 2010, Kashmal Integrated Investment Ltd, – N110,791,598.28, Island Auto International Ltd, – N118,106,984 – Keystone in 2010, Prince Buruji Kashamu N341,184,552.62, and N268,085,080.17 – Zenith Bank in 2011 totaling to N8,292,432,322.67.

The management of the corporation had said that it spent N1.7 trillion to buy non-performing loans of banks.
According to AMCON, it has so far recovered about 51 per cent, not the 15 per cent that was thrown out. And of the 51 per cent that has been recovered, AMCON has made a recovery rate of 103 per cent.

“So, AMCON has so far recovered more money than it put out for those loans than it has recovered till date. Our target still remains 80 per cent, which will be one of the highest recoveries in the world. And we know that as time goes by, it will become more difficult to recover,” AMCON further explained.

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