Law News

ECOBank Sues Oil Firm, Manager to Recover N25Billion Debt


Igbosere Court

Ecobank Nigeria Plc has filed a debt recovery suit before a Federal High Court, Abuja against an oil and gas company, Rahamaniyya and its Managing Director, Alhaji Abdulrahaman Musa Bashir, over alleged debt of N25, 900, 959, 351. 88.

The bank alleged that the monies were availed to the company (Rahamaniyya) for the purpose of financing the importation and local purchase of petroleum products.

The bank had through its counsel, Dr. Olisa Agbakoba (SAN), filed an application before the Federal High Court and the High Court of the Federal Capital Territory, Abuja, restraining Rahamaniyya and its directors from interfering or tampering with the petroleum products in their tank farms.

Justice Chuka Austine Obiozor of the Federal High Court had on August 7 granted the application and ordered the company to refrain from tampering with the product in its tank farm.

Also, Justice A.O. Faji had on June 27, 2019 ordered the issuance of a bankruptcy notice against the oil company and its MD to repay the loans which said obligation, Alhaji Bashir has failed to meet following his company’s alleged indebtedness to the bank.

The bank however instituted the suit to ensure that debtors fully honor their obligations after benefitting from credit facilities which helped to grow their businesses.

“The bank is therefore seeking an order to enforce collateral agreements, wind up the company for inability to pay its debts and obtain an order of court, adjudging Alhaji Abdulrahman Musa Bashir bankrupt.

“The Ecobank Group has representations across 36 countries in Africa and it constantly supports businesses in all these countries.

“The bank holds customers’ deposits in safe trust hence its vigor to recover the debt portfolio from Rahamaniyya Oil and Gas, against the backdrop of its insistence for customers it helps, to pay their debts in full and honor their obligations when due.”

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