How to dissolve a foundation in Nigeria
Do you have a Foundation/ NGO which you are tired of running and you have been wondering how to dissolve it? you can get it dissolved by taking the following easy steps;
- Write a petition for dissolution to the Corporate Affairs Commission. Note that this petition can be made by any of the following persons;
(a) the governing body or council; or
(b) one or more trustees; or
(c) members of the association constituting not less than 50 per cent of the total membership; or
(d) the Commission.
2. The following are grounds on which an NGO / Foundation may be dissolved by the commission, so be sure to include any of them in your petition.‐
(a) that the aims and objects for which it was established have been fully realized and no useful purpose would be served by keeping the Foundation alive;
(b) that the body corporate is formed to exist for a specified period and that period has expired and it is not necessary for it to continue to exist;
(c) that all the aims and objects of the association have become illegal or otherwise contrary to public policy; and
(d) that it is just and equitable in all the circumstances that the body corporate be dissolved.
3. At the hearing of the petition, if in the opinion of the court, some persons would be affected by the dissolution of the foundation, such persons would be notified of the proposed dissolution.
NOTE THAT; where after the dissolution of the Foundation / NGO and debts and liabilities have been settled, if any property remains, it shall not be distributed among or paid to the members of the association but transferred to some other institutions that have the same or similar objectives with the dissolved association, such association would have been decided by the members before or at the time of the dissolution, where a decision cannot be taken as to which organization should be the beneficiary, the property will be transferred to a charitable organization.
Reference S. 608 CAMA
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