Court Restrains House Of Reps from Summoning Insurance CEOs Over Alleged N98.4bn Debt

Justice Emeka Nwite of the Federal High Court, Abuja, has issued an interlocutory order restraining the Speaker of the House of Representatives, the House Committee on Capital Market and Institutions, and two of its members from compelling Chief Executives and Managing Directors of 17 insurance companies to appear before lawmakers at a scheduled hearing.

The ruling, delivered on Monday, August 18, 2025, followed a motion on notice filed by the insurers through their counsel, Prof. Taiwo Osipitan, SAN. The insurers had sought to stop the committee from enforcing directives contained in letters mandating their appearance on July 21, 2025, or any subsequent date, pending determination of the substantive suit.

The plaintiffs in the suit include major operators such as Regency Alliance Plc, Coronation Insurance Plc, Linkage Assurance Plc, Guinea Insurance Plc, Veritas Kapital Assurance Plc, LASACO Plc, Universal Insurance Plc, Sovereign Trust Insurance Plc, Alico Insurance Plc, AXA Mansard Insurance Plc, Cornerstone Insurance Plc, NEM Insurance Plc, Mutual Benefits Assurance Plc, International Energy Insurance Plc, Consolidated Hallmark Insurance Plc, SUNU Assurances Nigeria Plc, and Staco Insurance Plc.

Joined as defendants are the Speaker of the House of Representatives, the Committee on Capital Market and Institutions, Hon. Kwamoti B. Laori, and Hon. Bob Solomon.

The dispute stemmed from the House’s ongoing investigation into 25 insurance firms over alleged non-remittance of multibillion-naira revenue owed to the Federal Government. The insurers, however, argued that their operations are already under the statutory supervision of agencies such as the National Insurance Commission (NAICOM), Corporate Affairs Commission (CAC), and the Federal Inland Revenue Service (FIRS). They contended that the National Assembly lacks constitutional powers to scrutinize their operational records or enforce alleged liabilities.

In their affidavit, deposed by NIA manager, Akioya Toyin Victoria, the insurers maintained that the July 3 summons—which demanded submission of operational documents—was aimed at recovering N98.4 billion purportedly owed to the government, an exercise they described as an unlawful usurpation of executive powers.

Delivering the ruling, Justice Nwite noted that the defendants had failed to file any response to the motion despite being given the opportunity to do so. He held that a party that neglects to respond cannot later claim denial of fair hearing.

Accordingly, the judge restrained the defendants, their agents, and representatives from compelling the CEOs and MDs of the 17 insurance companies to appear before the committee pending determination of the substantive suit.

The matter was adjourned to September 9, 2025, for hearing.