Connect with us

society

Alleged debt: Firm prays Court of Appeal to quash order on takeover of property By Ifeoma Ikem

Published

on

Alleged debt: Firm prays Court of Appeal to quash order on takeover of property

By Ifeoma Ikem

 

 

Algrain Foods Limited and its managing director, Chief Anthony Obidulu, have approached the Court of Appeal in Lagos seeking to upturn the verdict of two high court judges empowering a receiver-manager, Emmanuel Adeyeye Oyebanji, SAN, to take over the company for alleged indebtedness.

The appellants are praying the appellate court to set aside the judgement delivered by Justice H.R. Shagari of the Federal High Court, on February 23, 2018, in a suit between CSL Trustees Limited, First City Monument Bank (FCMB) and the Central Bank of Nigeria vs. Algrain Foods Limited and Obidulu.

In another separate appeal, the firm and its managing director are praying the appellate court to set aside the ruling, decisions and orders of Justice A. Lewis Allagoa of the Federal High Court, Lagos Division, made on October 18, 2021.

Justice Allagoa had ruled that the receiver-manager, Oyebanji, had the legal right to take possession of the appellants’ property due to the agreement between the parties in the credit facility offered the company.

However in its ground of appeal, the company and Obidulu held that the lower court judges erred in law, stating: “There is before the trial court evidence of non-compliance with section 392(1), 396(1) and 397(1) of the Companies and Allied Matters Act, Cap. C. 20, Laws of the Federation of Nigeria 2004, by the receiver-manager appointed by the respondents that requires a mandatory service of statutory notice of appointment of receiver-manager and his remuneration on the registrar-general, Corporate Affairs Commission, and the first defendant/appellant, respectively, by the receiver-manager forthwith and or immediately after his appointment as required by the Companies and Allied Matters, Cap. C. 20, L.F.N. 2004, which was not complied with.
“The learned trial court totally misconstrued the practical effect and application of Section 392(1), 396(1) and 397(1) of the Companies and Allied Matters Act. Cap. C. 20, L.F.N. 2004, when he failed in his duty to countenance that the category of abuse of court process was not closed and any failure to adhere to the stipulation of the law in initiating administrative and or legal proceedings as in the instant case before approaching the court for a remedy even where a cause of action has accrued is an abuse of the process of court.

“The trial court’s interpretation of the operative words of Sections 392(1), 396(1) and 397 (1) of the Companies and Allied Matters Act. Cap. C. 20, L.F.N. 2004, read together is perverse and its misinterpretation and misapplication has led to a serious miscarriage of justice and a perverse decision.”

Meanwhile, lawyer to Algrain Foods, Aloy C Ezenduka, has raised the alarm that the receiver-manager has continued to take away the company’s property despite the fact that the case is still on appeal.

“Now, the government said before anybody can access that loan facility, you choose a bank and it has to be a bank for that particular facility and the bank should have access of the N400 billion; so, any money that is given out, you get a rebate from that fund. Instead of FCMB to do the needful, the bank went to the man’s factory, saw that he was producing noodles, saw that he had very efficient working system with low overhead, so they wrote in that they were going to sponsor the man’s business 100%.

“Instead of giving the man an order of N100 million working capital, on their own, they said they wanted to give the man N350 million; but at the end of the day, they only gave the man N100 million from the facility and never gave the man the other tranche of money

“When the auditors worked on the account, they found out that (the bank) collected more than N100 million from CDMU and they only gave the man N100 million. Meanwhile, they passed it through the man’s account, a lot of money illegally passed through his account. Maybe he had an inefficient accounting system. They were using the man’s ignorance to rip him off. It was when I came into the picture after the man was not satisfied with what the former man was doing after he refused to do comprehensive study. We did all these and found out that they were owing the man.

“When I got into the matter, I found a new case asking the court to discharge or nullify the receiver-manager because, by the time he was appointed, the so-called facility was not due for payment. His six-month activity was supposed to expire in 2016, but Oyebanji was appointed receiver-manager in 2016. If you add the one year moratorium they gave, it would have ended in July 2017 and by that time they had already taken over the factory.

“So, these were the issues we raised in the lower court. The lower court didn’t want to listen to us. The court just raised three issues and said we should address the court on that and called mood against us. We appealed that decision.

“The court told them, based on the question they brought for determination, that they had right and debenture to take possession and to sell without saying how much they can collect.

“Assuming the man was owing N350 million, then you now sell over N20 billion worth of assets for N350 million worth of debt, is that not criminality and stealing?

“In the case that brought Oyebanji to possession, they were saying it was based on mispresentation of material facts. It was not a bad debt and they have not called in the guarantee certificate, and the facility is 80%, principal and interest. So, from beginning to the end there was an intention to rip this man, to take over his factory, dissipate his asset and dupe him.

“This is a typical example with Nigerian banks and borrowers but, unfortunately for them, the Court of Appeal, in one of the appeals, the file that concerns Oyebanji, gave me permission to bring the document they were concealing. That document shows the fraudulent nature of the entire transaction.

“Immediately the court gave me the ruling that allowed me to furnish the documentary evidence, which is the certificate of guarantee, Oyebanji started moving material parts of the factory, between 1am and 3am every day.”

Ezenduka has asked the Inspector-General of Police, Kayode Egbetokun, to investigate his senior colleague, Emmanuel Oyebanji, SAN, for alleged sale of his client’s assets worth N20 billion.

Ezenduka, in a petition dated January 7, 2024, noted that Oyebanji, who was appointed as receiver-manager by CSL Trustees Limited on behalf of First City Monument Bank, following a N350 million loan dispute, allegedly converted, stole and sold the assets belonging to Obidulu and his company, Algrain Foods Limited, located at 15/17, Canal Avenue, Canal Estate, Okota, Lagos.

The petitioner said the actions of Oyebanji and FCMB were reprehensible, as four court cases, two at the Appeal Court in Lagos (CA/L/CV/1021/2021 and CA/L/CV/1024/2021) and two at the High Court of Lagos State, were pending and trial ongoing.

He said the cases at the High Court of Lagos State were instituted by Obidulu against Oyebanji, his law firm and FCMB, for trespassing over his property, alleging that despite the pendency of the suits, the defendants were discretely stealing and selling assets, comprising vehicles, heavy machinery and goods kept in the warehouse worth billions of naira.

The petitioner accused the defendant of acting on “a purported judgement on appeal that claimed that FCMB was owed N350 million, when an audit report had shown that the company was not indebted to the bank or anyone.”

However, Oyebanji has dismissed the allegations as fallacious and a deliberate attempt at misrepresenting facts, noting that the sale of the properties was backed by court judgements.

“It is total fallacy and complete misinformation that the receiver has been stealing the assets of Algrain Foods but, rather, the assets were legally disposed of by virtue of the judgement.

“There is no judgement or order from the Court of Appeal reversing the judgement of the Federal High Court,” Oyebanji said.

Moreover, FCMB’s group head of communication and branding, Mr. Diran Olojo, denied any looting by the bank, saying, “t is not possible for a serious organisation like FCMB to loot a company. There is a receiver-manager who is backed up by the law to recover debt. The debt recovery does not concern FCMB. Besides, everything that the receiver-manager is doing is backed by the law.

“The case is in the courts. Let the complainant wait for the decision of the court. FCMB is a serious organisation and would not be involved in petty things.”

Continue Reading
Advertisement

society

Ewekoro Local Government Strengthens Ties with Community and Celebrates Unity at Recent Events

Published

on

Ewekoro Local Government Strengthens Ties with Community and Celebrates Unity at Recent Events

Ewekoro, Ogun State – December 7, 2024

 

In a series of significant events underscoring the commitment to community welfare and development, the Nigeria Security and Civil Defence Corps (NSCDC) Ewekoro Division, led by Division Officer Mrs. Oyebade Folukemi, paid a congratulatory visit to the newly elected Chairman of Ewekoro Local Government Council, Hon. Adesina Sikiru Adisa. This visit, which took place on December 2, 2024, marked a crucial step towards strengthening collaboration between the NSCDC and local government officials, aimed at enhancing the safety and security of the Ewekoro community.

Mrs. Oyebade expressed her congratulations to Hon. Adesina, emphasizing the NSCDC’s commitment to supporting local governance and ensuring a secure environment for residents. The visit served as a platform to discuss strategies for improving safety measures in the area, illustrating the proactive approach of the NSCDC in fostering a safe community for all.

In another notable event, market women from Ewekoro Local Government paid a visit to Hon. Adesina to express their gratitude for his administration’s efforts in empowering local traders. Under his leadership, significant projects have been implemented, including the construction of modern market facilities, such as the 183 lock-up shops at Arigbajo Market. These developments have greatly enhanced the socio-economic activities of market women, contributing positively to their livelihoods and the overall well-being of the community.

Led by Alhaja Ejire, the head of market women, the delegation thanked Hon. Adesina for his unwavering support and commitment to their cause. The discussions during the visit focused on exploring further collaboration to address the challenges faced by market women, reinforcing the administration’s dedication to people-oriented projects that uplift the community.

The strong presence of local leaders during this visit, including Vice-chairman Alhaja Abisola Nuratu Aliyu and other key administration officials, highlighted the unified effort to promote the welfare of Ewekoro’s residents. The Chairman’s administration has earned recognition for its initiatives that significantly impact the lives of market women and the broader community.

Additionally, the recent Obada Day 2024 celebration, held on December 1 at Owiwi Primary School in Obada Ward 10, showcased the unity and love within the communities of Obada Town. Hon. Sikiru Adesina joined dignitaries such as HRM Oba Olufemi Solaja, the Olu of Obada Town, and HRH Oba Kasimawo Ogundare, the Olu of Opelifa, to celebrate this significant event. The celebration emphasized the importance of love, unity, and progress in Ewekoro Local Government, Ogun State, and Nigeria as a whole.

In a related announcement, the Ewekoro Local Government has informed all revenue consultants that the 2025 Internally Generated Revenue (IGR) Sales of Form will commence on December 2 and close on December 13, 2024. Those interested in securing a position are encouraged to purchase the form during this period.

These recent engagements and celebrations reflect Hon. Adesina Sikiru Adisa’s commitment to fostering community spirit, enhancing local governance, and promoting economic growth in Ewekoro Local Government. As the administration continues to work hand-in-hand with various stakeholders, there is a renewed sense of optimism for the future development of the community.

Continue Reading

society

FG Issues Alert on New COVID-19 Variant XEC Found in 29 Countries

Published

on

FG Issues Alert on New COVID-19 Variant XEC Found in 29 Countries

FG Issues Alert on New COVID-19 Variant XEC Found in 29 Countries

 

The Federal Ministry of Health and Social Welfare has raised an alert on the new XEC COVID-19 variant, urging heightened surveillance across Nigeria’s healthcare facilities.

The XEC variant, first identified in Australia, has now been detected in 29 countries and is showing a growth advantage over existing strains. Health experts are concerned about its potential impact on public health.

The warning was conveyed in a letter dated December 5, addressed to the Committee of Chief Medical Directors and Medical Directors by the ministry’s Permanent Secretary, Dr. O.N. Anuma.

“I am directed to inform you of the newly detected XEC COVID-19 variant which has already spread to 29 countries globally. This variant has shown a growth advantage over other circulating strains, raising concerns about its potential impact on public health,” the letter read.

Call to Action

Dr. Anuma emphasized the need for immediate vigilance in hospitals nationwide.

“Alert systems should be activated immediately for a high index of suspicion in patients presenting with COVID-like symptoms,” he said.

The ministry also stressed the importance of collaboration among health institutions to monitor the variant and share critical data.

“We urge you to work with relevant stakeholders to implement enhanced monitoring protocols and ensure timely information sharing with the Federal Ministry of Health for effective response strategies.”

Global Spread and Implications

First identified in Germany in June, the XEC variant has since been reported in France, the United States, the UK, Denmark, and other countries. Over 600 cases have been recorded globally, with scientists noting that while the variant has mutations that may aid its spread, vaccines are expected to remain effective in preventing severe cases.

Continue Reading

society

Bunmi Olu: A trailblazing woman and epitome of excellence reaches another incredible milestone ~By Oluwaseun Fabiyi

Published

on

Bunmi Olu: A trailblazing woman and epitome of excellence reaches another incredible milestone

~By Oluwaseun Fabiyi

 

A London-based Nigerian entrepreneur celebrates a landmark birthday with outstanding entrepreneurial acumen at fifty plus on Saturday, 7th December 2024

Bunmi Olu’s leadership style, marked by exceptional courage, integrity, and dedication to duty as founder of Dreamfo Widows and Widowers International NGO, has earned her a special place in the hearts of good Nigerians at home and abroad, and indeed the world at large

Your tireless pursuit of excellence in public service is a beacon of inspiration, and your remarkable legacy amongst women of virtue in the public sphere continues to inspire others to achieve greatness

As a trailblazing woman of substance, you continue to demonstrate remarkable courage in all your endeavors, while also committing to develop a responsible management system that ensures the efficient utilization of international resources at Dreamfo, a hub for thousands of widows and widowers

Your project vision has showcased considerable positive impact on womanhood and society as a whole, and it remains impressive. Your ability to make substantial contributions to the growth of future generations and create employment opportunities to some Dreamfo widows and widowers is indeed exceptional and second to none

Ma, your accomplishments as a distinguished woman in the battalion serve as a testament to your lasting influence on the community and its residents

Your exemplary work ethic and steadfast commitment to the well-being of the people have won their trust and appreciation, a reflection of your exceptional leadership

I’m delighted to extend my sincerest congratulations to you on this momentous birthday occasion

May this birthday celebration continue to motivate you to reach greater heights of achievement and service to humanity

Congratulations once more ma! May God continue to bless and guide you. Amen!

Oluwaseun Fabiyi a seasoned journalist writes from Lagos

Continue Reading

Cover Of The Week

Trending