The Federal High Court in Abuja has restrained the House of Representatives from compelling the chief executives of 17 insurance firms to appear before its Committee on Capital Market and Institutions.
In a ruling delivered on Monday, Justice Emeka Nwite issued an interlocutory order barring the Speaker of the House, the committee, and its members, Kwamoti Laori and Bob Solomon, from enforcing a summons earlier served on the insurance companies. The order followed a suit filed by the insurers, who sought protection against what they described as an unconstitutional move by the legislature.
The affected firms, represented by Senior Advocate of Nigeria, Prof. Taiwo Osipitan, include Regency Alliance Plc, Coronation Insurance Plc, Linkage Assurance Plc, Guinea Insurance Plc, Veritas Kapital Assurance Plc, LASACO Plc, Universal Insurance Plc, Sovereign Trust Insurance Plc, Alico Insurance Plc, AXA Mansard Insurance Plc, Cornerstone Insurance Plc, NEM Insurance Plc, Mutual Benefits Assurance Plc, International Energy Insurance Plc, Consolidated Hallmark Insurance Plc, SUNU Assurances Nigeria Plc, and Staco Insurance Plc.
Lawmakers had invited the insurance companies to a hearing scheduled for July 21, 2025, in connection with an alleged failure to remit about N98.4 billion to the Federal Government. The House committee had directed the firms to present their operational records and appear before it to answer questions on the alleged financial discrepancies.
However, the insurers challenged the summons, insisting that their businesses are already regulated by statutory agencies such as the National Insurance Commission (NAICOM), the Corporate Affairs Commission (CAC), and the Federal Inland Revenue Service (FIRS). Through their counsel, they argued that the National Assembly lacks constitutional authority to pry into their corporate books or enforce debt recovery, pointing out that such responsibilities belong to executive regulatory bodies, not lawmakers.
In a supporting affidavit, National Insurance Association (NIA) Manager, Toyin Victoria Akioya, told the court that the committee’s July 3, 2025, summons was essentially designed to establish and enforce alleged liabilities against the companies. This, she argued, amounted to legislative overreach and an attempt to usurp the powers of the regulators.
Justice Nwite, in his ruling, noted that the House of Representatives and its committee failed to file any counter-affidavit or respond to the insurers’ application, despite being given the opportunity. According to him, a party that refuses to respond to a motion cannot later claim denial of fair hearing. He therefore granted the insurers’ request for interim protection.
Consequently, the court restrained the House of Representatives, its Speaker, and the Capital Market and Institutions Committee from summoning or compelling the CEOs of the 17 insurance companies to appear at the July 21 hearing or at any subsequent sitting, pending the resolution of the substantive suit.
The matter was adjourned to September 9, 2025, for further hearing.
With this ruling, the court has effectively placed limits on legislative oversight powers in relation to the corporate governance of insurance companies, pending a final judgment.
