Federal High Court Establishes Insolvency Unit To Oversee Company Restructuring and Bankruptcy Matters
The Chief Judge of the Federal High Court, Justice John Tsoho, has established an Insolvency Unit within the court system.
Chief Registrar Sulaiman Hassan disclosed this development in a statement issued to the public and legal stakeholders.
Importantly, the court created the Insolvency Unit under provisions of CAMA 2020, AMCON Act 2019, NDIC Act 2024, and Bankruptcy Act 2010.
According to Hassan, the Insolvency Unit will supervise effective implementation of laws related to company restructuring and insolvency issues.
Specifically, the Unit will handle Company Voluntary Arrangements, Receivership, Administration, Winding Up, and other forms of corporate restructuring.
Moreover, Hassan emphasized that the Unit aligns with global best practices on insolvency and modern legal standards.
He further noted the Insolvency Unit will deliver specialized, standardized, and efficient services to parties involved in insolvency matters.
Additionally, it will provide fast-track services to ensure timely resolution of insolvency and restructuring processes in the country.
The Unit will also serve as a dedicated channel for insolvency practitioners to access supervisory and enforcement services.
As a result, Hassan described the Unit’s creation as a significant milestone in modernizing Nigeria’s insolvency practice and legal framework.
He noted that this initiative will enhance the Federal High Court’s capacity to manage complex corporate financial cases effectively.
By focusing on efficiency, the Insolvency Unit aims to support Nigeria’s business environment and promote investor confidence.
Consequently, the court expects the new Unit to reduce delays often associated with corporate restructuring and bankruptcy proceedings.
Furthermore, Hassan affirmed that the Federal High Court remains committed to innovation and reform in line with global legal developments.
The creation of the Unit, therefore, reflects efforts to improve transparency, accountability, and competence in insolvency adjudication.
Justice Tsoho’s leadership continues to prioritize modernization within Nigeria’s judiciary, ensuring better outcomes for businesses and creditors.
Legal experts have welcomed the move, seeing it as a step forward for Nigeria’s economic and legal systems.
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