Nigeria Corporate Affairs Commission: AFFAN Ownership Dispute Exposes CAMA 2020 Compliance Risks

• Aggrieved members of AFFAN accuse acting president Esther Aluko of attempting to claim sole ownership of the association by altering its documents.
• The dispute centers around alleged tampering with the association's constitution, which was registered with the Corporate Affairs Commission in 2020 under CAMA 2020.
• Petitioners argue that Aluko's actions are a clear breach of Section 16.1 of the AFFAN constitution, as registered with the Corporate Affairs Commission, which they claim requires due process for any amendments to an association's constitution.

The petitioners argue that this is in contravention of Section 12 of the AFFAN constitution, as registered with the Corporate Affairs Commission, which they claim requires due process for any amendments to the association's constitution.

A controversy has erupted within the Association of Former Female Athletes of Nigeria (AFFAN) over allegations of irregularities in its registration and governance. Aggrieved members have accused acting president Esther Aluko of attempting to claim sole ownership of the association by altering its documents. The dispute centers around the alleged tampering with the association's constitution, which was registered with the Corporate Affairs Commission in 2020 under the Companies and Allied Matters Act (CAMA) 2020. According to a petition signed by retired Air Commodore Rahinatu Garba on behalf of concerned founding members, Aluko has been claiming ownership of AFFAN and making unauthorized changes to its constitution. The petitioners argue that this is in contravention of Section 12 of the AFFAN constitution, as registered with the Corporate Affairs Commission, which they claim requires due process for any amendments to the association's constitution.

The dispute highlights the importance of compliance with regulatory requirements in the registration and governance of non-profit organizations in Nigeria. The CAMA 2020, which governs the affairs of companies and allied matters, emphasizes the need for transparency and accountability in the management of such entities. The petitioners argue that Aluko's actions are a clear breach of Section 16.1 of the AFFAN constitution, as registered with the Corporate Affairs Commission, which they claim requires that any amendments to an association's constitution must be made with due process and in accordance with the law. This could have serious implications for the association's legitimacy and reputation.

The controversy surrounding AFFAN's ownership and governance highlights the potential risks of non-compliance with regulatory requirements in Nigeria. Lawyers should be aware of these risks and take steps to ensure that their clients' organizations are properly registered and governed. The dispute also underscores the importance of transparency and accountability in the management of non-profit organizations, which is essential for maintaining public trust and confidence. As the matter continues to unfold, it remains to be seen how the Corporate Affairs Commission will address the allegations and what implications this may have for the association's leadership and members.

Lawyers should watch for potential compliance exposures and disputes arising from alleged irregularities in the registration and governance of non-profit organizations in Nigeria, particularly under the Companies and Allied Matters Act 2020.

Source: Original reporting via Arewa PUNCH