The Registrar General of the Corporate Affairs Commission (CAC), Garba Abubakar, has said only companies that are qualified should engage in public procurement in the country.
The concern was raised when the Chairman Board of Corporate Affairs Commission (CAC), Ademola Seriki, the RG of the CAC and other team met with the Minister of Industry, Trade and Investment, Otunba Richard Adeniyi Adebayo, and Minister of State, Amb. Mariam Yalwaji Katagum on Tuesday in Abuja.
The RG explained that the essence of it is to checkmate some of it abuses by introducing adopting letters of good standing issued by CAC as part of the requirement for public procurements.
He further explained that the letter will show the names and address of companies , names of directors, the nature of business of the company and whether the company is in any kind of compromise with its creditors by way of receivership or liquidations.
On President Buhari’s assent of the Companies and Allied Matters (CAMA) Bill, 2020 recently passed by the National Assembly, Garba lauded the development and added that the country has not had any significant change in company law and regulations in the last 2 decades.
He assured that the Commission is ready to ensure that the full latter of the laws are given effects and in doing that, they are ready to collaborate with the National Assembly to ensure that the law is gazetted.
He said they will need to come up regulations that will define certain transactions, particularly regulations of modern articles of association.
“We had the former law which was not extensive enough because various companies have been complaining and the provisions are not well encompassing.
“Now that we have the opportunity to come up with regulations on articles, it will go a long way in bringing a better governance structure for most of the companies and if we do well, companies don’t have to submit there own articles for registration,” he said.
He said they will come up with fees and make it uniform fees, adding that discrimination in fees is very difficult to manage but uniform fees make it easier to access.
He said they will have a committee that involves stakeholders such the Nigerian Bar Association (NBA) and the Institute of Directors in designing the regulations and come up with something that is acceptable to the larger segment of those that will benefit from these provisions.
Earlier, the Chairman Board of Corporate Affairs Commission (CAC), Ademola Seriki said they were at the Ministry to show formidable appreciation and steer a clear message to Nigerians that this is a new steering wheel in the business area of the CAC under the leadership of himself and the Registrar General.
He further lauded that Minister for being able to deliver what has been on in the last 2 decades regarding the new law of CAMA signed into law by Mr President .
He said with this, Nigerians can now see a friendly business in the area of Commerce and Industry and also in the Financial Capital Market.
The minister while responding assured that they will prepare a memo to the Federal Executive Council (FEC) to approve the proposed regulations which will become part of the processes.
He said he is looking forward to the regulations the CAC is putting together that will continue with the ease of doing businesses in the country .
