7 Functions of the Corporate Affairs Commission

Here in this post, we are going to give you the 7 functions of the corporate affairs commission. We hope you find this post invaluable and useful

The establishment of Corporate Affairs Commission came by the Companies and Allied Matters Act, as was promulgated in the year, 1990 with the sole mandate of regulating the formation as well as, the management of companies in Nigeria.

The reason why the Corporate Affairs Commission was established as an autonomous organization was that there were some issues perceived regarding inefficiency and ineffectiveness of the former organization that was in charge of Company Registry, which was directly supervised by a particular department in the Federal Ministry of Commerce and Tourism.

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This department then was responsible in registrying and administering those companies that were repealed according to an Act of 1968.

However, the Corporate Affairs Commission, apart from the aforementioned role it performed, also has a couple of other functions, which it performed, and in this article, I will be discussing those other functions of the Corporate Affairs Commission.

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What Are The Functions Of The Corporate Affairs Commission?

The Corporate Affairs Commission performed other functions, and these are the functions that were assigned to it, when the Corporate Affairs Commission was established.

The purpose of carrying out these functions was to aid the Corporate Affairs Commission in achieving its goals and objectives.

And in this article, I am going to explain some of these functions. Below are the functions of the Corporate Affairs Commission, which were set out in the Companies and Allied Matters, Act, section 7.

1. Administers The Act And Regulates, As Well As, Supervises The Formation And Incorporation Of Companies

The Corporate Affairs Commission undertakes various functions, one of these functions is the administration of the Act that led to the establishment and formation of organizations and companies.

In every Act, there are rules in sections and subsections that stipulates the functions, roles, responsibilities and activities assigned to that Act that led to the establishment or formation of organizations and companies and every establishment formed, must be done in accordance with the Act.

Unlike the Corporate Affairs Commission, the Commission was established by the Companies Allied Matters, of section 7 and therefore, it is the responsibility of the Corporate Affairs Commission to administer the Act that led to the establishment of the companies, according to its function.

The Corporate Affairs Commission also, apart from administering the Act, regulates the formation and incorporation of companies and organizations and supervises same.

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2. Supervises And Manages Formation Of Companies And Winding Up Of Companies

This, however, is part of the functions of the Corporate Affairs Commission. Besides administering and regulating the formation and incorporation of companies and organizations, it is also the function of the Corporate Affairs Commission to make sure that it also involved in the management of winding up of companies and organizations and the supervision of winding up of these companies. This is also an important function of the Corporate Affairs Commission.

3. Establishes Companies Registry And Maintains Companies Registry In Every State Of The Federation

This is another function of the Corporate Affairs Commission, and this aspect of function is also necessary and important.

It is the function of the Corporate Affairs Commission to establish company’s registry, across Nigeria. It is also the function of the Corporate Affairs Commission to establish offices in every state in the country.

Having establishes these companies registry and offices, the Corporate Affairs Commission, does not leave these offices without proper management, therefore, in keeping these offices in all the states in the country effective, and efficient in discharging their functions, it becomes incumbent on the part of the Corporate Affairs Commission to make sure that it manages these offices across the country.

4. Makes Offices In All States Of The Federation Suitably And Adequately Equipped To Discharge Their Functions

This is still another function of the Corporate Affairs Commission. Having established these offices and registry across the country, it is the function of the Corporate Affairs Commission to keep these offices suitable, and as well equip them so that, they can discharge their responsibilities as they are stipulated in the Act or under any other law with regards to the fact that, such law is charged with function and responsibility.

One can see here how important it would be for the Corporate Affairs Commission to equip these offices for optimal delivery of services to the members of the general public.

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5. Arranges And Conducts Investigation Into Company’s Affairs

Since it is the function of the Corporate Affairs Commission to take part in the formation of companies and organizations, as the case may be, it is also it responsibility to investigate companies, where there is conflict of interest between the public and the company’s stakeholders.

To do this, the Corporate Affairs Commission will have to make sure that, it makes the arrangement for such investigation, and as well, conduct the investigation into the affairs of every organization or company where the interest of the members of the public and the interest of the company’s stakeholders so demand.

6. Registers Business Names And Incorporates Trustees

The Corporate Affairs Commission is assigned with various functions. As a commission, the Corporate Affairs Commission is charged with the responsibility of rendering other services to the members of the general public. Some of these services could be a broad range of ancillary services.

Besides such ancillary services by the Corporate Affairs Commission to the members of the general public, the Corporate Affairs Commission also undertakes services such as involving in the registration of business names. Another function of the Corporate Affairs Commission to that of incorporating business or company trustees.

7. Undertakes Other Functions That Are Considered Expedient To The Provisions Of The Act

Although, the Corporate Affairs Commission offers other services, which may be considered as a broad range of ancillary services, the Corporate Affairs Commission however, can undertake other such functions or activities that could be considered as expedient and necessary, provided such functions or activities will give full effect to some provisions that have been made in the Act.

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Conclusion

However, the Corporate Affairs Commission, apart from the aforementioned role it performed, also has a couple of other functions, which it performed, which I have discussed in this article.

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