A federal high court sitting in Lagos has granted an order
for the Asset Management Corporation of Nigeria (AMCON) to take over the assets
of a Lagos businessman Tijani Babatunde Folawiyo.
The asset seizure was ordered based on Falawiyo’s unpaid debt
of N727.9 million.
The order of the court was sequel to an application filed
before the court by the law firm of Seun Omotoba, accoding to PM News.
The written address was moved by Amobi Agu, who urged the
court to allow the interim forfeiture of Folawiyo’s assets, pending final
determination of the suit.
Agu also asked for an order to compel Folawiyo, his agents,
servants, and creditors to deliver to AMCON the possession of all his assets,
bank accounts, or any other asset wherever located in satisfaction of the
Judgment of Justice Ibrahim Buba made on 30 October 2017, with accruing
interest.
Other reliefs sought are, “An order compelling the
Director-General of the Securities and Exchange Commission of Nigeria (SEC)
other subordinates jointly and severally attached to him, and under his
authority, control and/or supervision to assist the Applicant in securing
and/or preserving the shares listed in the name of the Respondent on the floor
of the Nigerian Stock Exchange.
“An order freezing the bank accounts of the respondent
maintained with the following banks: Access Bank Plc, Citibank of Nigeria
Limited; Diamond Bank Nigeria Plc; Ecobank Nigeria Limited; Enterprise Bank
Limited; Fidelity Bank Plc; First Bank of Nigeria Limited, First City Monument
Bank Plc, Guaranty Trust Bank Plc, Keystone Bank Limited, Skye Bank Plc,
Stanbic IBTC Bank Plc, Standard Chartered Bank Nigeria Plc, Sterling Bank Plc,
Union Bank of Nigeria Plc, United Bank for Africa Plc, Wema Bank Plc and Zenith
Bank Plc.
“An order granting leave to the Applicant to take interim
possession of the property of the respondent at Block 138, plot 13, Tunde Joda
Drive, Lekki Phase 1, Lagos State, all of which belongs to the respondent/debtor
pending final determination of this suit.”
Justice Lewis Allagoa after listening to the submission
granted the orders as prayed. He thereafter adjourned the case till 16 May
2022.
In an affidavit in support of motion papers, it was alleged
that Spring Bank offered Companies de Logistic Nigeria Limited, a credit
facility of N250 million for the purpose of Duty payment/clearing cost for
blue-chip companies; Door-to-door logistics; and finance of
confirmed/unconfirmed letters of credit for blue-chip companies based on
irrevocable Local purchase orders LPO.
Mr. Tijani Babatunde Folawiyo is a director of Compagnie de
Logistic (NIG) limited who was appointed by a valid resolution of the board of
directors on 11 September 2000.
The credit facility was granted to the Companies de Logistic
Nigeria Limited Company by Spring bank based on the personal guarantee and
representation of one of the Directors that cheques would be issued from time
to time to fully liquidate the facility through proceeds from LPO domiciled
with the bank.
AMCON acquired the Company’s loan from Spring/Enterprise Bank
and the outstanding balance as of January 1, 2011, was N292,304,900.00 and the
amount has grown to N533,396,381.11
The Companies de Logistic company received the full
complement of the sum of N250 million as the approved facility.
The loan agreements between the bank and the company had
since expired and sums therein are due for repayment.
By a Writ of Summons dated 14th day of February 2017, in suit
number FHC/L/CS/207/17, AMCON commenced an action against Compagnie Generale De
Logistique (NIG) Limited and the defendants, claiming N522,464,978.66.
This was the total outstanding debt due and payable to AMCON
on a loan advanced to the respondent’s company at 23 percent interest per annum
from the date of filing the suit till judgment and thereafter at the rate of 10
percent per annum until final liquidation.
AMCON also filed a Motion on Notice dated the 16th August
2017, praying the Court to enter final Judgment in default of appearance as per
its reliefs in the Statement of Claim.
On the 30th October 2017, the Court granted the said reliefs
sought by AMCON in the said Motion on Notice and entered Judgment in favor of
AMCON against the respondents in the sum of N522,464,978.66 at 23 percent
interest per annum from the date the case was filed and till when Judgement
will be delivered and thereafter at the rate of 10 percent per annum until
final liquidation of the debt.
The Judgment Sum due from Tijani Babatunde Folawiyo to AMCON
as of February 2020, was N727, 967,870.03, being the outstanding judgment sum
delivered by the Court on the 30th October 2017, when the interest element is
applied on the judgment sum.
The said Judgment is still wholly unsatisfied as at the time
of filing this suit to the amount stated above.
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