Connect with us

Judiciary

Court orders Ecobank to pay Honeywell N72.2bn, after eight-year legal battle

Published

on

Court orders Ecobank to pay Honeywell N72.2bn, after eight-year legal battle

Court orders Ecobank to pay Honeywell N72.2bn, after eight-year legal battle

Following its eight years legal battle with Ecobank Nigeria, Honeywell Flour Mills (HFMP) has been awarded N72.2 billion in damages by Justice Mohammed Liman of the Federal High Court, Lagos.

Justice Liman, who presided over the case, granted the requests of Honeywell Flour against Ecobank on Tuesday in the legal battle that started after the lender refused the manufacturer access to its accounts in 2015.

Honeywell Flour’s accounts were frozen in November 2015 when Ecobank secured an ex parte order, which was granted on the condition that the financial institution will compensate the former for harm or loss caused by the action.

Ecobank had shut Honeywell Flour out of their accounts in an attempt to wind up the latter over an alleged outstanding debt owed by the manufacturer.

Recall that Ripples Nigeria reported that Ecobank alleged Honeywell Group, former owner of Honeywell Flour, owes the company N13.5 billion, as outstanding debt.

The lender has also moved to block Oba Otudeko, Honeywell Group’s founder, from becoming the largest shareholder of FBN Holdings in a bid to recover the alleged debt.

Read Also: EFCC Kicks Against Court Order Permitting Ex-Anambra Governor Obiano to Travel Abroad

Meanwhile, due to the losses Honeywell Flour claimed following the freezing of its company account, Justice Liman ordered Ecobank to pay the company N72.2 billion in damages.

The damage fee is 23 per cent of Ecobank’s first quarter turnover in 2023 when the company generated N313.17 billion.

Loss of revenue and interest on unutilised cash balances are some of the reasons claimed to have caused the losses. Also listed are foreign exchange devaluation, aggravated and exemplary damages.

Liman told the parties involved in the case that: “The plaintiff was denied the use of funds in his account based on the ex parte order granted in favour of the defendant. It is therefore my firm view that the plaintiff (Honeywell) is entitled to the amount claimed… The argument of the defendant in his written address is therefore not acceptable as the contents of the document are the best evidence and they speak for themselves.”

The judge also condemned Ecobank’s lawyer for being ignorant of the law relating to the ex parte order, “the purpose of an undertaking to pay damages has been held in a legion of cases to indemnify the party for the losses he may suffer on the bases of an ex parte order.

“Note that Rule 4 of the Winding Up Rules provides that all applications which affect the rights of parties in a winding-up proceeding must be made on notice.

“The provisions of the winding up rules are very clear and unambiguous. The defendant cannot claim ignorance of this provision as ignorance of the law is no excuse and it is even more inexcusable if it is committed by a lawyer. The ex parte application was therefore made ultra vires,” he said.

Court orders Ecobank to pay Honeywell N72.2bn, after eight-year legal battle
Continue Reading
Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *

Headlines

Court dissolves marriage after return of N20, 000 bride price

Published

on

An Area Court sitting at Centre-Igboro in Ilorin on Thursday dissolved the Islamic marriage between Wuraola Surajudeen and Surajudeen Omo Iya-Onitasi.

The Presiding Judge, Hammed Ajumonbi, pronounced the dissolution of the marriage after the now ex-wife refunded the N20, 000 bride price to the now ex-husband.

Ajumonbi held that both parties, who were residents of Abayawo in Ilorin, could go their separate ways since there was no child between them.

The court, however, asked the woman to file another case to claim her belongings still in the custody of the man, saying the application before it was only for divorce.

Earlier, Wuraola had on Nov. 27 filed for divorce and cited lack of love and affection as reasons.

Surajudeen, who did not oppose the application, had however insisted on the refund of the bride price he paid.

However, Wuraola while returning the bride price, had told the court that she did not pick anything before leaving their matrimonial home.

She had urged the court to grant her permission to pack her belongings, but the court refused and asked her to file an application to that effect.

Continue Reading

Africa

Customs hands over illicit drugs worth N117.59m to NDLEA

Published

on

Customs hands over illicit drugs worth N117.59m to NDLEA

The Nigeria Customs Service (NCS), Ogun Area 1 Command, has handed over illicit drugs worth N117.59 million to the National Drug Law Enforcement Agency (NDLEA).

The Comptroller of the command, Mr James Ojo, disclosed this during the handing over of the drugs to Mr Olusegun Adeyeye, the Commander of NDLEA, Idiroko Special Area Command, in Abeokuta, Ogun, on Friday.

Ojo said the customs handed over the seized cannabis and tramadol tablets to the Idiroko Special Command for further investigation in line with the standard operating procedures and inter-agency collaboration.

He said the illicit drugs were seized  in various strategic locations between January and November 21, 2024, in Ogun State.

He added that the illicit drugs were abandoned at various locations, including the Abeokuta axis, the Agbawo/Igankoto area of Yewa North Local Government Area, and Imeko Afton axis.

Ojo said that the seizure of the cannabis sativa and tramaling tablets, another brand of tramadol, was made possible through credible intelligence and strategic operations of the customs personnel.

“The successful interception of these dangerous substances would not have been possible without the robust collaboration and support from our intelligence units, local informants and sister agencies.

“These landmark operations are testament to the unwavering dedication of the NCS to safeguard the health and well-being of our citizens and uphold the rule of law,” he said.

He said the seizures comprised 403 sacks and 6,504 parcels, weighing 7,217.7 kg and 362 packs of tramaling tablets of 225mg each, with a total Duty Paid Value of N117,587,405,00.

He described the height of illicit drugs smuggling in the recent time as worrisome.

This, he said, underscores the severity of drug trafficking within the borders.

“Between Oct. 13 and Nov. 12 alone, operatives intercepted a total of 1,373 parcels of cannabis sativa, weighing 1,337kg and 362 packs of tramaling tablets of 225mg each,” he said.

Ojo said the seizures had  disrupted the supply chain of illicit drugs, thereby mitigating the risks those substances posed to the youth, families and communities.

He lauded the synergy between its command, security agencies and other stakeholders that led to the remarkable achievements.

Ojo also commended the Comptroller General of NCS for creating an enabling environment for the command to achieve the success.

Responding, Adeyeye, applauded the customs for achieving the feat.

Adeyeye pledged to continue to collaborate with the customs to fight against illicit trade and drug trafficking in the state.

Continue Reading

Africa

Ann-Kio Briggs Faults Tinubu for Scrapping Niger Delta Ministry

Published

on

Prominent Niger Delta human rights activist and environmentalist, Ann-Kio Briggs, has criticised President Bola Tinubu’s decision to scrap the Ministry of Niger Delta, describing it as ill-advised and detrimental to the oil-rich region.

Briggs expressed her concerns during an appearance on Inside Sources with Laolu Akande, a socio-political programme aired on Channels Television.

“The Ministry of Niger Delta was created by the late (President Umaru) Yar’Adua. There was a reason for the creation. So, just removing it because the president was advised. I want to believe that he was advised because if he did it by himself, that would be terribly wrong,” she stated.

President Tinubu, in October, dissolved the Ministry of Niger Delta and replaced it with the Ministry of Regional Development, which is tasked with overseeing all regional development commissions, including the Niger Delta Development Commission (NDDC), North-West Development Commission, and North-East Development Commission.

Briggs questioned the rationale behind the restructuring, expressing concerns about its feasibility and implications. “But that’s not going to be the solution because who is going to fund the commissions? Is it the regions because it is called the Regional Development Ministry? Is it the states in the regions? What are the regions because we don’t work with regions right now; we are working with geopolitical zones,” she remarked.

She added, “Are we going back to regionalism? If we are, we have to discuss it. The president can’t decide on his own to restructure Nigeria. If we are restructuring Nigeria, the president alone can’t restructure Nigeria, he has to take my opinion and your opinion into consideration.”

Briggs also decried the longstanding neglect of the Niger Delta despite its significant contributions to Nigeria’s economy since 1958. “The Niger Delta has been developing Nigeria since 1958. We want to use our resources to develop our region; let regions use their resources to develop themselves,” she asserted.

Reflecting on the various bodies established to address the region’s development, Briggs lamented their failure to deliver meaningful progress. She highlighted the Niger Delta Basin Authority, the Oil Mineral Producing Areas Development Commission (OMPADEC), and the NDDC as examples of ineffective interventions.

“NDDC was created by Olusegun Obasanjo…There was OMPADEC before NDDC. OMPADEC was an agency. Before OMPADEC, there was the Basin Authority…These authorities were created to help us. Were we helped by those authorities? No, we were not,” she said.

Briggs further described the NDDC as an “ATM for failed politicians, disgruntled politicians, and politicians that have had their electoral wins taken away from them and given to somebody else.”

Her remarks underscore the deep-seated frustrations in the Niger Delta, where residents continue to advocate for greater control over their resources and improved governance.

Continue Reading

You May Like

Copyright © 2024 Acces News Magazine All Right Reserved.

Verified by MonsterInsights