Section 34: Effect of Acquisition of Eligible Bank Asset by the Corporation. (amended by Section 4 of the Asset Management Corporation of Nigeria (Amendment) Act, 2015; Section 8 of the Asset Management Corporation of Nigeria (Amendment No. 2) Act, 2019 and Section 2 of the Asset Management Corporation of Nigeria (Amendment) Act, 2021)

(1) Subject to the provisions of the Land Use Act and section 36 of this Act, upon the acquisition of an eligible bank asset by the Corporation, without any other assurance other than the provision of this section, the Corporation shall immediately:
(a) Subject to paragraph (c) (i) and (d), become vested with and acquire legal title to the eligible bank assets and all assets or property tangible or intangible belonging to, traced to, and in which the debtor has interest in, whether or not such assets or property is used as secarity for the eligible bank asset;
(b) be vested with power, to the exclusion of all other creditors, to take possession of, manage, foreclose or sell, transfer, assign or otherwise dispose of the eligible bank asset and any tangible or intangible asset or property used as security for the eligible bank asset, in full or partial satisfaction of the debt owed to the Corporation by reason of the acquisition of the eligible bank asset notwithstanding that the interest of the debtor in such asset or property is equitable only.
(c) upon the vesting of an eligible bank asset, assets and property tangible or intangible in the Corporation by virtue of paragraph (a);
(i) without prejudice to the rights of other secured creditors with a security interest in the assets or property which ranks equally or in priority to that held by the Corporation, be paid out of the proceeds of any realisation or receipts from the management of such assets or property in accordance with the priority ranking of their security interest in such assets or property, and
(ii) operate to extinguish any equity of redemption of the charge in relation to such assets or property;
(d) where the Corporation exercises the powers conferred by paragraph (a) in relation to any asset or property by which an eligible bank asset is secured, apply the proceeds of such exercise of power first to pay any secured creditor with a valid prior ranking security interest in the asset or property in respect of which the power is exercised and next pro rata with other secured creditors with security interests that rank equally with the security interest acquired by the Corporation by reason of its acquisition of the eligible bank asset.
1A. Any certification of sale or certificate of transfer of title executed by the Corporation in exercise of its powers under subsection (1) (a) shall constitute a valid registrable instrument under all applicable land registration laws applicable in the Federation and in all Land and Corporate Registries in the Federation.
(2) Subject to the provisions of the Land Use Act and section 36 of this Act, the vesting of an eligible bank asset in the Corporation and the exercise of power by the Corporation under subsection (1) takes effect notwithstanding the pendency of an action before a court of law in respect of the eligible bank asset.
Cap. L5. LFN. 2004.
(3) The provisions of this section are applicable to all eligible bank assets including but not restricted to the assets acquired by the Corporation before May 2015.
(4) Upon the acquisition of rights by the Corporation in an eligible bank asset, the Corporation shall acquire all rights applicable to the assets notwithstanding that only equitable rights are created in the assets and the Corporation is entitled to exercise the powers of a legal estate holder in a charge or legal mortgage.
(5) The power of sale, transfer and disposal conferred upon the Corporation by subsection (1)(a) or by any other provision of this Act is exercisable by private treaty or other disposal method as may be approved by the Board of the Corporation,
(6) No injunction, preservative or restorative or order, interim, interlocutory, perpetual or like order described shall be granted against the Corporation or its directors or officers in any action, suit or proceeding in relation to the exercise or intended exercise of power by the Corporation under this Act to recover debt owed to the Corporation or otherwise realise an eligible bank asset or any asset or property by which such eligible bank asset is secured and in particular under subsection (1) (a) and section 39 of this Act, and the remedy of any claimant against the Corporation in any such action, suit or proceeding is limited to monetary compensation.
(7) Monetary compensation for the purposes of subsection (6) of this section excludes consequential, aggravated, punitive or exemplary damages.
(8) Without prejudice to the provisions of subsections (1) and (2), the Corporation may direct all eligible financial institution to hold an eligible bank asset or relevant contract deemed vested in, or assigned to the Corporation under subsection (1), and exercise any such right or power in relation thereto, and when so directed, the eligible financial institution shall hold the eligible bank asset and exercise such rights and powers in the relevant contract at the direction or the Corporation for the sole benefit of the Corporation and shall in relation thereto be subject to the duties, obligations and liabilities as nearly as possible corresponding to those of a trustee in relation to the eligible bank assets and any relevant contract deemed assigned under subsection (1).
(9) Any property, money or other pecuniary benefit received by an eligible financial institution in the course of holding any eligible bank asset acquired by the Corporation or any relevant contract relating thereto or in exercising any right under subsection (6) is held as bare trustee, in trust for and for the sole benefit, of the Corporation and is turned over to the Corporation and shall not be taken to be an asset of the eligible financial institution or accounted for as such in the books of the eligible financial institution.