First Bank of Nigeria Limited (FirstBank) reacted to General Hydrocarbons Limited’s (GHL) allegation that it had exploited the legal system.
In a statement, the bank claimed to be the sole party to submit a substantial claim against GHL to the Federal High Court in Lagos.
It made it clear that its allegations and the dispute GHL filed for arbitration and sought preservation orders over are not the same.
An order blocking GHL’s accounts was obtained by FirstBank due to a purported $225 million debt.
The business, however, objected to the Mareva injunction that Justice Deinde Dipeolu issued in response to an application filed by FirstBank and FBNQuest Trustees Limited.
All Nigerian banks were ordered by the court to refrain from disbursing cash to GHL, which is owned by Nduka Obaigbena, Publisher of ThisDay Newspapers and Chairman of Arise.
The accounts of GHL directors Obaigbena, Efe Damilola Obaigbena, and Olabisi Eka Obaigbena were also blocked.
In a statement released on Sunday by Abdelmuizz Bello, its Director of Strategy & Operations, GHL charged FirstBank with acquiring the Mareva injunction from a different judge “despite the existence of a subsisting court order” in its favor.
GHL’s allegation of process abuse was deemed “incorrect” by FirstBank, The Nation reported.
The bank said,
Following FirstBank’s discovery of GHL’s violations, including the diversion of proceeds, FirstBank asked that an independent operator be chosen in accordance with the terms of the contract to manage the financed asset in a transparent way that would increase project visibility, safeguard the interests of all stakeholders, and add value.
It added,
As a result, it declared that the claim that FirstBank misused the court’s process was false.
The bank added: “GHL off-took crude from the Floating Production Storage and Offloading (FPSO) vessel and diverted the proceeds.
TimesNow.com.ng reported that Femi Otedola, the Chairman of FBN Holdings, the parent company of First Bank, has reiterated his dedication to the financial institution.
In a message reacting to the ongoing heated dispute with Nduka Obaigbena, the Chairman and Publisher of ThisDay and Arise News Channel, Otedola said he is determined to preserve the integrity of First Bank of Nigeria.
The disagreement between Otedola and Nduka, seemingly resulting in a media war, centres on allegations surrounding a $230 million loan, reportedly secured by GHL, the owners and operators of OML 120, a deep offshore oil block in Nigeria.
Source: TimesNow.com.ng
