Bill to pay judgement debt passes second reading

President Bola Tinubu
A bill to establish guidelines for the payment of judgments owed by the Federal Government and its agencies has passed its second reading in the House of Representatives.

Rep. Mariam Onuoha (APC-Imo), who sponsored the bill during a session in Abuja on Thursday, noted Nigeria’s growing financial liabilities from judgment debts.

In her debate on the bill’s general principles, Onuoha stated that payments have often been managed without consistent guidelines, proper documentation, or transparency.

She explained that government agencies typically pay judgment debts on a discretionary basis, without proper regard for the order of judgments, public interest, or the need to respect court orders.

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According to her, the absence of a legal framework for managing these obligations has led to negligence and misconduct.

She asserted that public officers’ actions, unchecked by clear consequences, have resulted in avoidable litigation.

“Therefore, the Judgement Debt (Payment Guidelines) Establishment Bill, 2023, is a necessary response to these challenges.

“It introduces a structured approach to managing judgment debt payments by the Federal Government and its agencies, ensuring accountability, compliance, and financial discipline”.

Onuoha added that the bill would require government agencies to pay their incurred judgment debts directly, fostering financial responsibility and discouraging reckless actions.

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She added that it would also foster transparency and accountability by mandating that judgement debts are included in the annual budget, subject to the oversight of the National Assembly.

The bill was however supported by lawmakers, which was subsequently passed by the House, thereby scaling second reading.

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