The Lagos Division of the Federal High Court has instructed all banks operating in Nigeria to blacklist media executive Nduka Obaigbena and his family over an alleged debt to First Bank of Nigeria.
The December 30, 2024, Mareva order aims to prevent Mr Obaigbena from moving any assets linked to him outside the jurisdiction of the Federal High Court. First Bank filed a debt-recovery lawsuit against Mr Obaigbena and his relatives, including Efe Damilola Obaigbena and Olabisi Eka Obaigbena, claiming they incurred a debt of approximately $718 million through their oil servicing firm, General Hydrocarbons Limited.
As part of the order issued by Justice Deinde Dipeolu in case FHC/L/CS/2378/2024, at least $225 million has been frozen in bank accounts controlled by the Obaigbena family.
The judge also mandated that all banks licensed to operate in Nigeria immediately halt all financial transactions involving the Obaigbenas and any businesses linked to them.
Mr Obaigbena did not respond to a request for comments regarding the order on Thursday evening.
However, a source close to the THISDAY and Arise TV chairman shared a letter from his lawyers with the Peoples Gazette, detailing the origins of the dispute and why First Bank executives could face contempt of court.
In a letter dated January 9, 2025, from their lawyers Abiodun Layonu & Co., the Obaigbenas contended that First Bank was attempting to hold them accountable for nearly $718 million in defaulted loans issued to Atlantic Energy.
The lawyers cautioned First Bank about the “grave legal implications” of seeking a Mareva order from a different judge while a separate federal judge had already issued an injunction prohibiting any action against the Obaigbenas in connection with the dispute.
They referenced a December 12, 2024, judgment by Justice Lewis Allagoa of the Lagos Division of the Federal High Court, which “unequivocally and emphatically restrained First Bank from taking any steps whatsoever to enforce any security, receivables, instrument, financial documents, or assets of our clients pending the hearing and determination of the ongoing arbitration proceeding between our client and FBN.”
The firm asserted that First Bank was aware of the prior judgment before approaching another judge for an ex-parte order, which they argued was unethical and potentially illegal.
A spokesperson for First Bank and chairman Femi Otedola did not respond immediately to a request for comments from The Gazette regarding whether they had received the letter from the Obaigbenas’ lawyers.
In a separate petition to CBN Governor Yemi Cardoso last year, Mr Obaigbena claimed he played a crucial role in rescuing First Bank from imminent collapse in 2021. By leveraging resources from the OML 120 oil block, secured under President Muhammadu Buhari, he helped the bank turn around from a reported loss of N161 billion to an announced profit of N151 billion for the year ending December 31, 2021.
“We have been left with no choice but to seek legal and arbitration avenues to protect our fundamental rights and contractual entitlements in light of FBN’s attempts to intimidate and coerce us,” Mr Obaigbena stated in the complaint filed on November 7, 2024.
