The House of Representatives on Wednesday, called on the Federal Government to expedite action on the reconstitution of the Investment and Security Tribunal (IST).
The call was sequel to a motion by Rep. Yusuf Tajudeen (Kogi-PDP) on the need for immediate reconstitution of the tribunal.
Moving the motion, Tajudeen said that the dissolution of the board of public agencies by the Federal Government on July 16, 2015, hindered the tribunal’s ability to adjudicate on issues concerning capital market.
He expressed worry that in the last 18 months of the non- reconstitution of the tribunal, it had had no fewer than 51 pending cases.
The lawmaker added that prior to dissolution of the tribunal, it had, from inception in 2007, adjudicated on matters with a cumulative monetary value of about N400 billion.
He said that this had gone a long way in stabilizing the capital market and the economy.
He, therefore, said that the non-reconstitution of the tribunal had grossly affected its role as the capital market adjudicator through which disputes were resolved.
Tajudeen said that the issue had impugned the credibility and integrity of the IST as capital market stakeholders now doubted its relevance and that investors’ confidence was gradually being eroded.
“The Federal Government does not realize that for the capital market to play its role as an alternative source for long-term capital amid dwindling oil revenue and economic recession, there is urgent need to strengthen the IST.
“Some countries in Europe, America, Asia and Africa have better developed markets and adjudicatory system that are independent and operate with a measure of predictability and certainty,” he said.
Also contributing to the motion, Rep. Abdulrazak Namdas (Adamawa-APC) said that over 400 cases had been dispensed by the tribunal.
The motion was unanimously adopted by members when it was put to a voice vote by the Speaker, Mr Yakubu Dogàra.
The house consequently mandated the Committee on Capital Market and Institutions to liaise with Federal Ministry of Finance and other public institutions to work out short-term solutions that would enhance effectiveness of the IST.