A Federal High Court sitting in Lagos has reserved till a later date its ruling on a move by General Hydrocarbons Limited (GHL) seeking to vacate the order freezing its assets, accounts and related entities.

Through its counsel, Senior Advocate of Nigeria, Victor Ogude, First Bank of Nigeria Limited opposed the move and asked Justice Deinde Dipeolu to uphold his order freezing the assets, pending the outcome of a substantive suit aimed at recovering a loan of $225.8 million extended to the oil company.

The bank made the application today while responding to an application filed by GHL seeking to lift the order, which it contended was obtained through the concealment of important facts.

On December 30, 2024, Justice Deinde Dipeolu had granted an ex-parte order restricting all commercial banks from releasing or dealing with any assets or monies belonging to General Hydrocarbons Limited, its agents, subsidiaries, or sister companies up to the amount claimed by the plaintiffs.

The judge had also restrained Nduka Obaigbena, Efe Damilola Obaigbena, and Olabisi Eka Obaigbena?directors of General Hydrocarbons Limited?from transferring or dissipating any of their assets located in Nigeria, whether movable or immovable until the court decides on the Motion on Notice for an interlocutory injunction.

Other respondents in the suit include GHL 121 Ltd, Aimonte Nigeria Limited, Calidin Global Resources Limited, CESL Oyo Production BBC Limited (owner of FPSO Tamara Tokoni), CESL Oyo Production O&M Limited, and VITOL SA.

The others are Mercuria Energy Trading SA, Trafigura PTE Limited, Glencore Energy UK Limited, Schlumberger Nigeria Limited, Schlumberger Overseas SA, and Baker Hughes Oilfield Services.

While arguing for the lifting of the order, GHL?s counsel, Senior Advocate of Nigeria, Abiodun Layonu, claimed that First bank?s suit represents an abuse of court process.

He also claimed that the bank failed to disclose an earlier order granted by Justice Ambrose Lewis-Allagoa which restrained the bank from taking further action to recover the loan until the parties subjected themselves to arbitration.

Layonu asked the court to dismiss the Mareva Injunction, arguing that the court was misled into granting it and same has caused significant financial harm to GHL.

In response, Ogude submitted that First Bank did not deceive the court to obtain the order. He emphasised that the bank provided all relevant facts in its affidavit supporting the suit.

He also pointed out that the parties involved in Justice Lewis-Allagoa?s case and those before Justice Dipeolu are different and that nothing in the earlier order prevents First Bank from pursuing the current matter under different agreements.

The senior lawyer also noted that no law restricts their constitutional right to seek judicial redress for disputes.

Ogude asked the court to strike out or dismiss GHL?s suit as incompetent and set a date for the hearing of the substantive suit.

After considering the arguments presented, the judge reserved the ruling for a later date, which will be communicated to both parties. (Channels TV)

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