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Court restrains NAICOM from action against GUINEA Insurance

A Federal High Court sitting in Abuja, has restrained the National Insurance Commission (NAICOM) from the purported suspension of Guinea Insurance PLC from writing new businesses.
The Court’s verdict made available to Daily Sun by Hanson Ufot, GUINEA Insurance Spokesman explained that the Court stopped the apex Insurance regulator, NAICOM from continuing with the suspension and ordered a status quo ante to be maintained.
Ufot said in a statement on Saturday that the ruling was delivered by Justice I. E Ekwo adding that the court had granted the order in a suit No: FHC/ABJ/CS/151/2019, filed by the company against the Commission on Feb. 6.
The spokesman said Ekwo had held that all parties should maintain status quo, pending the hearing and determination of the motion on notice before the court. He said the case was later adjourned until Feb. 18, for motion on notice. Guinea Insurance in the application said that NAICOM had on Jan. 28, suspended the company from underwriting new businesses, but said it could maintain the existing businesses in its portfolio until some issues are resolved by the company.

“Some of the issues, according to NAICOM, included Guinea Insurance Plc’s failure to appoint a substantive managing director, not securing a re-insurance treaty, among others. It was on the basis of this, we are constrained, as a Company, to set the records straight.

“We are informing the general public, business associates, shareholders, prospective investors and policyholders that the Board of Guinea Insurance Plc had on Feb. 15, 2018, appointed Mr. Babatunde Oshadiya, as Managing Director and Chief Executive Officer of the Company.

“The proposal for his appointment was submitted to NAICOM for approval since February 2018,’’ Guinea Insurance said in the statement.

The Court’s statement in parts read, “Upon this motion ex-parte dated 5th day of February, 2019 and filed on the 6th Feb. 2019 praying for the other: An, order of mandatory injunction restraining the Defendant, whether by itself, or assigns, successor-in–title, personal representatives, agents or privies or any other person or body of persons (howsoever described) acting for it or at its instance behest from enforcing or taking any steps whatsoever, including, without limitation, writing letters, issuing directives and/or instructions to the plaintiff or any other person or entity; or taking out publications, or any other act; with intent, (or, in respect of such acts having)the…..”.

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