Dr Sam Agbogun, the Managing Director of the Nigeria Electricity Liability Management Ltd (NELMCO), said the company would resolve the more than 300 litigations against PHCN?before its privatisation.
Agbogun told the News Agency of Nigeria (NAN) on Thursday in Abuja that the company would ensure that all?cases involving the PHCN were settled to facilitate?smooth privatisation exercise.
“We have?lots of challenges that are not known to the public; there are more than 300 litigations in the court against PHCN.
“Many people sue PHCN and on the other hand, PHCN sued some people; as I am talking to you now the claims by some of these people either for electrocution, illegal disconnection, or trespassing is over N500 billion.
?“But all these cases must be resolved and NELMCO will not allow any one case to remain unresolved; and there must be out of court settlement for each of these cases to enable a smooth privatisation,’’ he said.
Agbogun explained that the company?had inadequate?funds to settle its creditors, adding that it was working?with the Ministries of Power and that of Finance, and?the Budget office to resolve the issue.
He also said that the company was having problems?with?the verification of customers’ claims.
Agbogun said the Bureau for Public Enterprises was auditing the assets of the PHCN to determine its core and non core assets, which would form the major sources of?funding of the liability management?company.
The managing director?disclosed that the target of the company was?to ensure that all PHCN’s creditors were settled before privatisation to avoid truncating the?Federal Government’s Power Reform Agenda. (NAN)