The governor was impeached by the lawmakers after reviewing the report of a panel of inquiry set up to investigate the allegations against him and his deputy.
Earlier, the state Deputy Governor, Bala Ngilari, resigned from office to avoid being impeached.
Umaru was sworn-in by the state's Acting Chief Judge, Justice Ambrose Mammadi.
After taking the oath of office, the acting governor said the impeachment of Nyako was a blessing to the people of the state.
Umaru called on the people to join hands with his administration, saying that the task before it was enormous.
He reminded them that Adamawa was still under state of emergency and urged them to be law abiding.
The acting governor promised to pay the two months outstanding workers' salaries and other allowances.
"This administration will do all that is possible to restore the lost glory of the state as well as improve the economic well-being of the people", he said.
Chieftains of the PDP and members of the National Assembly were among dignitaries that witnessed the ceremony.
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