AMCON files application for summary judgment against Vanquish Investment company,two of it’s directors
Written By Dedeigbo Ayodeji Samson
Posted By Town Crier News Nigeria
Published By Fitness Network Communications
Assets management corporation of Nigeria AMCON has filed an application before a Federal high court sitting in Lagos seeking the order of the court granting summary Judgement in its favour and against a limited liability company, Vanquish Investment Limited,
and two Directors of the company Olugbenga Adesanya and Esther Adesanya.
In an affidavit sworn to by the
Credit Officer in the Credit Directorate outstanding of the indebtedness of AMCON Mrs Afiniki Oyedele-Lawal in support of the application for summary Judgement filed before the court by a Lagos lawyer, Barrister Gerald Eguaroje,the deponent avers thus:
Vanquish Investment Limited company required the sum of N279,000,000.00 to finance the local Purchasing Order from Total Nigeria Plc and applied for N251,000,000.00 term loan from Oceanic Bank International Plc.
The Bank offered and disbursed the sum of N251,000,000.00 as a term loan facility with tenor of 30 days to the company at the interest rate of 20% per annum which was accepted by Olugbenga Adesanya the Company’s Managing Director.
As at 29th November,2010 the debit balance on the Bank Account of the Company acquired by AMCON as Non-Performing Loan was N154,789,919.94.
In another application, the Company applied for a project term loan from FBN to purchase the property at 897A Balarabe Musa Crescent, Victoria Island,Eti-Osa local Government area of Lagos State for development into 10 bedrooms guest house now known as The “Thistle Bar” a term loan of N120 Million was availed by FBN to the company.
The Managing Director of the company Olugbenga Adesanya unconditionally accepted all the terms contained in the FBN offer letter for repayment of the terms of the loan facility on behalf of the company and executed a personal guarantee thereof as security for the repayment of the loan.
The company with a letter dated 17/11/2009 also applied for an LPO
Finance Facility for N30,000,000.00 (Thirty Million Naira Only) from First Bank of Nigeria Plc. and the application was approved and the sum of N30,000,000.00 (Thirty Million Naira Only) was disbursed to the company vide an offer letter dated 1/12/2009,Olugbenga Adesanya and Esther Adesanya and Chris Akabueze acting as Secretary accepted the offer on behalf of the Company.
FBN approved the request vide her offer letter dated 25/2/2010 to the company and allowed the account of the company to be overdrawn to the tune of N39,999,120.00 (Thirty Nine Million Nine Hundred and Ninety
Nine,one hundred and twenty kobo to finance the local purchase order.
Upon default at the expiration of the agreed tenor for payment of the overdraft facility and several demands and reminders for payment of the overdraft facility with interest, the company unpaid term loan with interests were classified as a Non-Performing Loan (NPL) for statutory acquisition by AMCON of both Non Performing loans from FBN and a Loan Purchase and Limited Servicing Agreement (LPA) dated 06/04/2011 between FBN and the AMCON pursuant to the extant provisions of the Act.
Shortly after purchase and acquisition of the 2 (two) Non-Performing Loans of the company from FBN valued at N138,461,087.68 (One Hundred and Thirty Eight Million Four Hundred and Sixty One Thousand Eighty Seven Naira Sixty Eight Kobo Only) on 6th of April 2011, FBN.demanded payment of N140,638,495.16 from the company.
The company’s total indebtedness in respect of the aforementioned loans as at 9th August 2022 which has remained unpaid till date stood at N579,277,897.67 now stands at N599,920,402.68 me as at 17th February,2023.
The Court granted an Ex-Parte Application for possession of the property at Plot 897A,Balarabe Musa Crescent, Victoria Island, Eti-Osa Local Government Area of Lagos State on 21st January,2022
The Ex-Parte orders have since been executed and Counsel to the company held meetings with the AMCON to settle the indebtedness of the company and despite several promises to make offers to settle, the company failed and neglected to take definite steps at paying a dime even when the company was in possession of the said property,AMCON belatedly filed its Claim Bundle on 21st September,2022.
The defendants have been served with the Substantive Claim Bundle since the but the defendants only chose to enter appearance through their Counsel on record in this Suit but did not file a Statement of Defence.
AMCON filed a Claim Bundle for the liquidated sum which now stands at N599,920,402.68 with 15% interest as at 17th February,2023 and have served the Defendants with all the originating processes on 22nd,September,2022, but the Defendants only caused a conditional memorandum of appearance to be filed, without filing a Defence to the Claims for the liquidated amount.
Mrs Oyedele – Lawal contended that the time limited by the Rules of Court for filing a Defence by Defendants in an action for recovery of a liquidated sum has long lapsed and verily believe that the defendants do not have a defense to the claims for payment of the liquidated sum of N599,920,402.68 with 15% interest due to the Applicant as at 17th February,2023 that is subject matter of this suit.
She verily believe that, it is in the interest of justice if this application is granted to enable AMCON carry out it’s statutory functions expeditiously.
Consequently,AMCON is seeking the following orders of the court:
An order of the court granting Summary Judgment in favour of AMCON in terms of the Claim Bundle for failure by the Defendants to file a defence to the Claimant Claims for the sum of N599,920,402.68 with 15% interest being the outstanding indebtedness of the Defendants to AMCON from 17th February,2023 till date.
An order directing thirty banks listed before the bank to pay the sum of N599,920,402.68 with 15% interest as at 17th February,2023 in the Defendants’ and proxies’ Bank Accounts linked to the Bank Verification Number of the third Defendant Esther Adesanya to AMCON for the purpose of carrying out and executing the Orders of the Court.
An order granting AMCON having vested interest legal rights as unpaid equitable Mortgagee to sell and dispose the property at Plot 897A, Balarabe Musa Crescent, Victoria Island, Eti-Osa Local Government Area of Lagos State and the property located at Birikisu Iyede Street, Onitiri Area, Yaba, Lagos State. being the Eligible Bank Assets vested in AMCON that are connected to the Non-Performing Loan acquired and apply the proceeds in partial or full liquidation and realization of the Defendants’ indebtedness which stood at N599,920,402.68 with 15% interest from 17th February,2023.
An order directing the Bailiffs of the Court or other designated staff, officers and men of the Nigerian Police Force and officials of AMCON to enter into the property located at Plot 897A, Balarabe Musa Crescent, Victoria Island, Eti-Osa Local Government Area of Lagos State and the property located at Birikisu Iyede Street, Onitiri Area, Yaba, Lagos State,for the purpose of carrying out and executing the Orders of the Court.
Meanwhile,the Presiding Judge, Daniel Osiagor has adjourned till 29th November,2023 for the hearing of the application for summary judgment.