Federal High Court for Lagos don back United Bank for Africa (UBA) for the bank move to recover alleged N156.03 billion debt wey UBA allege say Stallion Group owe. Justice Daniel Osiagor, for judgment wey e deliver on Friday, uphold the appointment of receiver/manager and restrain the defendants from diverting payments wey government agencies suppose pay them.
Court hold say the mortgage arrangements wey secure the loans valid, and UBA get right to enforce im securities over properties wey dem pledge against the facilities. Justice Osiagor talk say the defendants no dispute say dem dey owe the bank, but dem challenge the amount wey UBA claim.
The judgment also confirm say the guarantors liable and uphold Romeo Ese as receiver/manager. Court confirm say Ese get authority to take possession of the mortgaged properties and seek protective orders to safeguard the assets.
Justice Osiagor also stop the defendants from diverting receivables wey government agencies owe them. The court talk say this measure na to prevent diversion of funds wey for help the bank recovery efforts. The court still hold say reconciliation of accounts between UBA and the defendants no wipe out the underlying debt or spoil the bank right to enforce im security.
One objection by Barbedos, the 12th defendant, no scale through. Barbedos challenge the mortgage arrangements, arguing say dem suppose get im consent before the transactions conclude. But Justice Osiagor hold say Barbedos no show any proprietary interest for the mortgaged property, so e no get legal basis to insist say dem for collect im consent before dem create the mortgage.
Court also settle the jurisdiction issue in UBA favour and confirm say e get competence to hear the bank claims. According to the proceedings, all the issues wey dem submit for determination resolve in UBA favour, and the court grant the reliefs wey the bank seek.
The dispute start from October 2023 when UBA collect interim orders from the Federal High Court to enforce im securities over assets wey belong to Stallion Nigeria Limited and im subsidiaries. Properties wey the earlier orders affect include industrial and commercial assets for Lagos, Port Harcourt and Kano.
UBA allege say Stallion Group owe about N156.03 billion, and that one lead to litigation involving several companies inside the conglomerate and their guarantors. For November 2023, Stallion Group dispute the bank account of the debt matter, maintain say e don make substantial repayments and dey discuss with UBA over account reconciliation and restructuring. The proceedings later see procedural disputes, including request by counsel for some of the defendants say make dem transfer the case from the court of Justice Akintayo Aluko, wey handle earlier applications.
