The Federal High Court, Abuja, on Monday temporarily restrained the House of Representatives Committee on Capital Market and Institutions from summoning the Nigerian Insurers Association (NIA) and 17 insurance companies over its probe of alleged N98.4 billion liabilities against non-government-funded insurance companies in Nigeria.
Justice Emeka Nwite granted the restraining order, highlighting that the insurers’ CEOs “stand the risk of being arrested” while the substantive case is pending, hence the injunction.
He delivered the ruling in a motion on notice filed and argued by the insurers’ lawyer, Professor Taiwo Osipitan, SAN.
Naijaonpoint previously reported that Nwite had earlier declined an ex parte application by the insurers, directing that they put the respondents on notice so they could formally respond to their claims.
Joined as respondents in the case are the Speaker, House of Representatives of the National Assembly, House of Representatives Committee on Capital Market and Institutions, Hon. Kwamoti B. Laori, and Hon. Bob Solomon.
Professor Taiwo Osipitan, SAN, the plaintiffs’ lead counsel, argued in his court documents seen by Naijaonpoint that the NIA is the umbrella association of the 2nd to 18th Plaintiffs/Applicants (insurance companies), whose sole responsibility is to protect the interests of insurance companies in Nigeria.
Osipitan added that the 2nd to 18th Plaintiffs/Applicants are non-government-funded companies conducting insurance business in Nigeria and are allegedly under the supervision and control of agencies within the executive arm of government (National Insurance Commission, Corporate Affairs Commission, and Federal Inland Revenue Service), not the House of Representatives.
The senior lawyer stated that his clients are “aggrieved” by the defendants’ actions in inviting/summoning (in a letter dated July 3, 2025) them to submit operational documents with a view to establishing the Plaintiffs/Applicants’ alleged indebtedness to the Federal Government of Nigeria and enforcing payment.
Osipitan submitted that the Court has the requisite jurisdiction to grant the present application in order to preserve the subject matter of the litigation, highlighting that the balance of convenience is a factor the Court considers in granting or refusing applications of this nature.
In an affidavit supporting the motion ex parte, deposed to by Akioya Toyin Victoria, a manager in the NIA, the official disclosed that the “objective of these letters of invitation/summons to the 2nd to 18th Plaintiffs to sessions/proceedings of the 2nd Defendant is to recover N98.4 billion from the 2nd to 18th Plaintiffs/Applicants, being the 2nd to 18th Plaintiffs’ established liabilities to the Federal Government of Nigeria.”
The insurers asked the court to restrain the lawmakers from taking any step or steps towards the implementation/enforcement of the directives contained in their letter of invitation/summons dated 3rd July 2025 or any other subsequent letter or summons inviting the 2nd – 18th Plaintiffs/Applicants Chief Executive Officers to the hearing sessions of the Committee slated for any subsequent day(s), pending the hearing and determination of the Plaintiffs/Applicants’ substantive suit.
Passing a ruling on the motion on notice, Nwite observed that none of the respondents filed any response to the motion on notice of the insurers.
“In view of the foregoing, I am of the view and I so hold that the Plaintiffs/Applicants (Insurers) have a right deserving of protection through the grant of an injunction,” Nwite ruled.
Additionally, the judge agreed that there are serious triable legal issues to be tried in the matter.
According to him, the triable issues are whether the legislators have constitutional powers to summon/invite the Chief Executive/Managing Directors of the 2nd-18th Plaintiffs/Applicants to the Committee’s Investigating Meeting and to submit financial/operational documents in order to ascertain their alleged indebtedness or otherwise to the Federal Government of Nigeria.
“This will negatively affect their business,” Nwite said.
“This will negatively affect their business,” Nwite said.
On the other hand, the judge held that the lawmakers have nothing to lose if they are restrained from summoning/inviting the officials of the insurance companies pending an interrogation into their constitutional powers.
The judge adjourned till September 9, 2025, for hearing on NIA and others’ substantive matter against the Reps.
Naijaonpoint previously reported that the NIA, in a press release, criticized the House of Representatives Committee on Capital Market and Institutions’ ongoing investigations into certain member companies (insurers) over alleged multibillion-naira financial infractions, alleging it raised concerns about “legislative overreach” by the lawmakers.
The NIA stressed that it represents licensed insurance and reinsurance companies in Nigeria and noted the recent press statement issued by the Committee on Capital Market and Institutions concerning ongoing investigations into certain member companies over alleged financial infractions.
This development follows reports that the House began probing 25 insurers on Monday over alleged non-remittance of multibillion-naira revenues owed to the Federal Government of Nigeria.