Under the chairmanship of Mr. Gamaliel Onosode, the forum was an initiative of Olisa Agbakoba and Associates which also used the forum to make a public presentation on their pioneering publication on bankruptcy proceedings, a Practice Text. Panelists included Professor Isabella Okagbue, Company Secretary and Legal Adviser of United Bank for Africa, UBA, Agbakoba, SAN, Mr. Ayo Ogunyinka of Credit Risk Managers Association CREMA, Dr. Atoki, Vice Chairman, Chartered Institute of Arbitrators, Ms. Funke Aboyade, General Counsel, THISDAY Newspapers and Mr. Kehinde Aina of the NCMG.

Onosode's opening remarks were quite incisive and apt as he captured the very essence of the forum. In a lighter mood, he regretted not having had the opportunity to have practiced universal banking having retired 24 years ago from his many years of banking. Onosode however advocated a system that is intrinsically strong enough to punish deviant behaviour in bank credit transactions. He is of the opinion that part of the bad debts in the industry today were deliberately created by bankers themselves.

He therefore recommended a law that will look at both the borrower and the creditor.

Okagbue's presentation viewed the issues in bankruptcy and debt recovery from a banker's perspective. In her opinion, the most crucial issue is the recovery of non performing loans. Her greatest worries are first, that credit is not just available at the low end of the banking spectrum because we operate a cash economy and the cash is not just there. Secondly, though genuine failure of businesses does occur, people go to banks to borrow money without any intention of ever paying back and with the collusion of officials.

Ogunyinka reeled out frightening figures on debt portfolios in the banking industry. He drew the attention of participants to the fact that risk portfolios were on the increase until recently when the CBN reluctantly stepped in. It was an eye opener that non performing loans constitute 20% of total loan portfolios which translates to 1/5 of all loans have a tendency to be lost completely. He found it rather disheartening that the total debt profile in the country and the total national budget are almost at par with debts at N680 billion and budget at N800 billion in the year 2001.

The book presentation by Mr. Inam Wilson took participants through the nitty-gritty of bankruptcy proceedings including a checklist which he said lawyers will find invaluable. The book itself is a practice handbook on the subject matter and was highly praised by lawyers as a pioneering effort in the field. Mr. Wilson succintly pointed out a lacuna in the bankruptcy Act which allows only a second line charge in bankruptcy proceedings.

That branckruptcy proceedings can only be commenced only after getting a court judgment.

Agbakoba, SAN's presentation painted an alarming picture of the situation. He warned of a systemic failure in the banking industry and that it requires very aggressive tools to solve. The fact that the existing legal frame work has not really changed in the last 100 years has not helped matters.

The learned Senior Advocate summed up his presentation by recommending compulsory legal audits of loans in all banks and the insertion of ADR clause in loan agreements. His recommendation of legislation to take care of the yawning gaps in banking transaction enjoyed the overwhelming support of participants even as he regrets that Universal banking, consumer credit and many other banking transactions have no legal backing.

Mr. Kehinde Aina handled the Alternative despite Resolution angle of the forum. he believes that bank licences should not just be revoked for erring banks, but that officials of such banks should be prosecuted. His only regret however was that most banks have no regards for their legal department.

The forum ended with a very exciting and engaging interactive session.

It was unanimously accepted that all banks should pull resources and mobilise Agbakoba, SAN to sponsor a private member Bill at the National Assembly on the subject matter as a matter of ingency. Tributes were paid to the Chairman of the event Onosode who many proclaimed as their living Nigerian heroe having distinguished himself in public service by an untainted record.