NAICOM Boss Olusegun Ayo Omosehin Must Go Immediately — Group Demands Suspension Over Explosive EFCC Petition, Warns Insurance Sector Collapse

The Coalition for Good Governance in Nigeria (CGGN) has called for the immediate resignation of Olusegun Ayo Omosehin, Commissioner for Insurance and Chief Executive Officer of the National Insurance Commission (NAICOM), over what it described as a deepening regulatory and financial crisis that threatens to destroy public confidence in the nation’s insurance industry.

In a statement signed by Salisu Mohammed, the group said Omosehin’s continued stay in office while a formal petition against him and NAICOM sits before the Economic and Financial Crimes Commission (EFCC) constitutes a clear and present danger to the sector and an affront to accountability.

“The petition before the EFCC is not a minor administrative disagreement. It centres on alleged unlawful demands for a one per cent capital injection fee, forced transfer of entire capital funds into CBN escrow accounts contrary to Section 16(3) of the Nigerian Insurance Industry Reform Act 2025, and the collection of about ₦180 million for consultants who were reportedly never engaged,” Salisu Mohammed stated.

“These are serious questions of financial accountability involving shareholders’ funds. Reports indicate that the disputed fees across the industry may run into tens of billions of naira.

“An official facing such grave allegations cannot continue to head the regulatory body. Olusegun Ayo Omosehin must resign today so that a full and independent investigation can proceed without interference.”

The coalition noted that NICON Insurance Limited and Nigeria Reinsurance Corporation had formally petitioned the EFCC, the Federal Ministry of Finance, and the Presidency, alleging that NAICOM’s actions during the recapitalisation exercise lacked legal backing and raised questions about the ultimate destination of the collected funds.

It further observed that the Federal Ministry of Finance had earlier directed NAICOM to suspend the contested fees and full-capital escrow demands against the two companies pending the determination of their petition, a clear indication that the issues raised were not frivolous.

“Section 15 of the 1999 Constitution places a solemn duty on the state to abolish all corrupt practices and abuse of power,” the statement added.

“Keeping Omosehin in office as head of NAICOM while the EFCC examines these petitions is a direct contradiction of that constitutional obligation.

“We therefore call on the Honourable Minister of Finance and Coordinating Minister of the Economy to suspend Olusegun Ayo Omosehin with immediate effect.

“Suspension is not a verdict of guilt; it is the minimum requirement to protect the integrity of the investigation and prevent further erosion of confidence in the insurance sector.”

The group warned that the ongoing crisis, including the revocation of licences and the appointment of receivers for some operators, has already created uncertainty among policyholders and investors.

It said continued inaction risks triggering mass policy withdrawals, capital flight, and a systemic loss of trust that could take years to rebuild.

“Every day Omosehin remains as Commissioner for Insurance and CEO of NAICOM deepens the crisis and sends a dangerous signal that regulatory power can be exercised without full accountability,” the statement continued.

“The Minister must choose between protecting one man and saving an entire industry from collapse.

“We demand immediate suspension, a thorough EFCC investigation free from interference, and full public disclosure of how all recapitalisation-related fees were assessed, collected, and applied.

“History will not forgive those who stood by and watched the insurance sector slide into chaos.”

The Coalition for Good Governance in Nigeria vowed to intensify pressure on the Presidency, the National Assembly, the EFCC, and other relevant institutions until Omosehin is removed from office and the petition is fully and transparently investigated.