Supreme Court upholds AMCON’s right to sell mortgaged assets, settling dispute over Lagos Continental Hotel and validating the 11 Hospitality Plc transaction
The Supreme Court of Nigeria on February 20, 2026, delivered a landmark judgment affirming the powers of the Asset Management Corporation of Nigeria to sell mortgaged assets, bringing finality to a protracted legal dispute over the Lagos Continental Hotel on Victoria Island.
The case involved Polaris Bank Limited, AMCON, 11 Hospitality Plc, and Milan Industries Limited.
The dispute centred on the disposal of the property, originally developed by Milan Industries with a bank loan from the now-defunct Skye Bank Plc.
When the loan became non-performing, AMCON acquired the Eligible Bank Asset of Milan Industries in September 2018.
AMCON confirmed the appointment of Kunle Ogunba as Receiver/Manager, who had been tasked by Polaris Bank to recover the loan.
The agency subsequently sold the hotel to 11 Hospitality Plc for N22 billion.
Milan Industries challenged the sale in court, but the Supreme Court overturned the Court of Appeal’s ruling in its favour.
In its decision, the apex court emphasised that the AMCON Act is a special law designed to address unique challenges in Nigeria’s financial sector.
The judgment reaffirmed that AMCON retains a continuing security interest in mortgaged assets as long as the underlying debt remains outstanding and clarified that the agency is exempt from paying stamp duties under Section 60 of the Act.
The ruling validates AMCON’s authority to dispose of mortgaged assets, permanently resolving the long-running dispute over the Lagos Continental Hotel and protecting the interests of 11 Hospitality Plc as the new owner.
