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A Federal High Court sitting in Abuja has nullified the Corporate Affairs Commission’s (CAC) intervention in the affairs of the National Youth Council of Nigeria (NYCN), ordering the restoration of the council’s registration and the reinstatement of Ambassador Sukubo Sara-Igbe Sukubo and other members of its Board of Trustees (BoT) as the recognised leadership of the organisation.
The court also directed the immediate dissolution of the Interim Management Committee (IMC) headed by Buhari Shehu, which was established by the CAC in collaboration with the Federal Ministry of Youth Development, following the deregistration of the council.
The decision was contained in the Certified True Copy (CTC) of the judgment delivered by Justice Binta Nyako in Suit No. FHC/ABJ/CS/2142/2025 on June 5, and dated June 11, 2026.
The suit was instituted by the Incorporated Trustees of the NYCN and Ambassador Sukubo, who serves as President of the council and Secretary of its Board of Trustees, against the Registrar-General of the CAC, the commission, the Minister of Youth Development and the Federal Ministry of Youth Development.
At the centre of the dispute was the CAC’s decision to withdraw the NYCN’s certificate of registration on October 6, 2025, despite having earlier issued the certificate on October 28, 2020. The following day, the commission and the ministry announced the constitution of a nine-member Interim Management Committee chaired by Shehu to oversee the affairs of the youth body.
Challenging the move, the plaintiffs argued that the CAC lacked the constitutional and statutory authority to remove recognised leaders of an incorporated association and replace them with an administrative structure. They further contended that the commission relied on provisions of the Companies and Allied Matters Act (CAMA) 2020 that had already been subjected to judicial scrutiny in previous litigation.
The applicants maintained that disputes relating to the leadership and administration of the NYCN were already before competent courts and that the actions of the CAC amounted to an unlawful attempt to determine issues that remained sub judice.
In her judgment, Justice Nyako agreed that while the CAC possesses regulatory oversight powers over incorporated trustees, those powers do not extend to taking actions capable of determining leadership disputes that are already before the courts.
The judge observed that the commission’s intervention went beyond regulation and effectively altered the leadership structure of the organisation, while related matters remained unresolved before the judiciary.
According to the court: “Having disposed of the objections, I shall proceed to determine the substantive suit. Having considered the processes filed by the parties, I am of the view that the central issue is not whether the 1st and 2nd Defendants possess regulatory powers over incorporated trustees because they undoubtedly do. The real question is whether those powers extend to the wholesale displacement of the existing leadership of the 1st Claimant in the peculiar circumstances of this case.”
Justice Nyako noted that disputes concerning the trusteeship, leadership structure and administration of the NYCN had been the subject of multiple legal proceedings.
She held that administrative agencies must refrain from actions capable of prejudging issues already before the courts.
“The affidavit evidence before this court reveals that disputes relating to the trusteeship, leadership structure and administration of the 1st Claimant have been the subject of multiple litigations before courts of competent jurisdiction. It is trite that where the determination of rights is already before a court, an administrative body must exercise caution so as not to assume the role of the court.”
The judge further emphasised that although the CAC has powers to investigate and supervise incorporated associations, it cannot use those powers to decide who should lead such organisations while legal proceedings are pending.
“The Corporate Affairs Commission undoubtedly possesses regulatory powers over incorporated trustees. Those powers, however, cannot be exercised in a manner that effectively determines a live dispute already awaiting judicial determination. The commission may investigate, or it may supervise compliance with statutory requirements. It may make inquiries into the affairs of an association. What it cannot do is assume the role of the court by effectively deciding who should govern the association while the issue remains the subject of pending litigation.”
The court found that the withdrawal of the NYCN’s certificate and the subsequent establishment of the Interim Management Committee had the practical effect of displacing the existing leadership and installing a new authority.
“The evidence before this court shows that the Defendants went beyond investigation. They purportedly withdrew the certificate of the 1st Claimant and proceeded to constitute an interim management committee to assume control of the organisation. Whatever nomenclature is used, the practical consequence of that decision was to displace the existing leadership structure and install another authority in its place.”
Justice Nyako held that such actions were premature and capable of undermining ongoing judicial proceedings.
“In my view, such action was premature. It altered the status quo in a dispute that was already before the courts and had the tendency of rendering pending proceedings nugatory. The law does not permit a party, directly or indirectly, to achieve administratively what remains unresolved judicially.”
The court described the actions taken by the defendants in the circumstances of the case as an abuse of court process and declined to make a broad declaration on the constitutionality of Sections 839 and 851 of CAMA, focusing instead on the specific facts before it.
“This will make this case an abuse of court process. However, while I decline to make a general pronouncement declaring Sections 839 and 851 of the Companies and Allied Matters Act unconstitutional, the actions taken pursuant to those provisions in the peculiar facts of this case were unlawful and cannot stand.”
Consequently, the court ordered the immediate restoration of the NYCN’s certificate of registration, the recognition of Ambassador Sukubo and other duly registered trustees as the legitimate Board of Trustees, and the dissolution of the Interim Management Committee.
Justice Nyako also directed all parties to maintain the position that existed before the intervention by the CAC pending the resolution of related appeals currently before the appellate courts.
The judgment is expected to have far-reaching implications for the limits of regulatory intervention in the internal affairs of incorporated associations, particularly where leadership disputes are already the subject of ongoing litigation. It also marks a significant development in the prolonged leadership crisis that has engulfed the National Youth Council of Nigeria in recent years.
