By Francis IWUCHUKWU
Apparently in a move to recover alleged debt to the tune of N8,701,770,328.83, Ecobank Nigeria Limited has dragged a Lagos businessman, Victor Osibodu and his company, Vigeo Limited before a Federal High Court sitting in Ikoyi, Lagos State, Nigeria.
According to its statement of claim, the financial institution had made the allegation that by a duly executed offer of Multiple Credit Facility dated April 10, 2007, it approved the grant of $15 million and $1,750,000.00 respectively in favour of Vigeo Nigeria limited, for the acquisition of a motor tug boat known as Lady Margret now Vigeo Olufunke from a company in Norway.
The statement of claim equally maintained that by another duly executed offer of Multiple Credit Facility dated April 10, 2007, the bank in three tranches granted to Vigeo the sum of N200 million, N750 million and N350 million respectively for working capital and import duty payments with a tenor of 12 months (renewable annually) at the interest rate of 16% per annum.
According to the new generation bank, the first Vigeo Company secured the facilities, with a lien on shares of blue chips companies estimated at N500 million to be whare-housed with the bank, receipt of irrevocable domiciliation of contract proceeds from major oil companies in favour of the bank and stocks of goods valued at N150 million.
Ecobank added that by the security required under the credit facility dated April 10, 2007 (Dollar Facility), the Chairman of Vigeo Company, Victor Osibodu executed a personal guarantee and a duly notarized statement of Net worth dated August 16, 2007, which provides particulars of his assets worth N2,002,400,000.00 for the security of the loan sums if he defaults in the repayment of the loan.
According to the bank, in fulfilment of the personal guarantee by Osibodu, the Central Securities Clearing System (CSCS) by a letter dated October 30, 2007, confirmed the placement of a lien on 25,083,612 units of GTB shares belonging to Osibodu.
The statement of claim further revealed that on July 9, 2008, Osibodu had resolved at its Board Meeting to request for an additional facility of US$ 2, 000,000.00 to finance the dry dock maintenance of the vessel.
It was the position of the statement of claim, that upon consideration of Defendant’s request, Plaintiff made an offer in principle indicating the terms and conditions of the said offer of $2,000,000.00.
The Security of the $2,000, 000 loan includes amongst others an irrevocable domiciliation of Charter contract proceeds from Knock Allan Pte or their Nominee, the new chatterers of the vessel as well as domiciliation of Charter contract proceeds from SNEPCO, the statement of claim added.
According to the plaintiff, despite Defendant’s loan obligations, the Board of his company at a meeting of May 3, 2009, requested an additional facility of $1million to complete the life extension programme of the vessel MV Vigeo Olufunke.
But due to the inability of the defendants to meet their repayment obligations, according to the statement of claim, the bank had on several occasions restructured the facilities but to no avail.
This prompted Ecobank, according to the statement of claim, to by a letter dated June 27, 2014, informed the defendants that its account had remained non-performing as Osibodu had allegedly failed to meet the agreed term.
However, after several meetings between the bank and the Defendants over the indebtedness, Ecobank by a letter dated September 2, 2014, informed Vigeo that its current indebtedness stood at N798,202,164.28; $13,547,854.4 as of June 25, 2013, and an additional $4,263.24.
Therefore, Ecobank is asking the court, presided over by Justice Yellin Bogoro to declare that the Defendants are indebted to it in the sum of $16,886,665.04 and N862, 061, 492.63 being the sum outstanding as of 1st of December 2016 with interest accruing at the agreed interest rate.
The new generation bank further asked the judge for an order awarding post-judgement on the sum, at the rate of 20% per annum until the final liquidation of the debt.
The bank is also seeking the order of the court for the forfeiture of Vigeo house, 6 Osborne Road, Ikoyi Lagos valued at N800 million as of August 2007. Ecobank is also requesting an order of forfeiture of 16A Milverton Road, Ikoyi worth N700 million.
Ecobank also wants “an order granting the Plaintiff ownership, control, disposition and/or lien rights (until and to the extent and purpose of full realization of the sums) if the properties identified are still insufficient to liquidate the Defendants’ debt.”
The bank further wants the court to place in its possession, “All shares held in any companies by the Defendants within the Federal Republic of Nigeria
“Cash at hand or cash held in any Bank and/or financial institutions in Nigeria, standing to the credit of the first and second Defendants amongst others including general and exceptional damages in the sum of N100 million.”
However, Vigeo in its Statement of Defence stated that Ecobank Transnational Incorporated did not acquire the defunct Oceanic Bank International PLC at all, contesting that any purported acquisition is void, illegal and unenforceable in law.
It stated that there was no merger of defunct Oceanic bank with the plaintiff and no valid or legal merger adding that the purported merger is illegal and void in law and did not comply with all requisite statutory requirements and due process of law.
The Defendants also stated that Ecobank is not the successor-in-title or successor-in-interest of defunct Oceanic Bank and the rights, assets and liabilities of Oceanic Bank are not vested in Ecobank.
As a result, the Defendants insisted that they are not indebted to the Plaintiff in the sum of N8,701,770,328.83 (eight billion, seven hundred and one million, seven hundred and seventy thousand three hundred and twenty-eight Naira eighty-three Kobo) or any sum at all and that the bank is not entitled to any of the reliefs claimed in the suit as same are frivolous, baseless, unmeritorious and should be dismissed with substantial costs.
Justice Bogoro adjourned till March 17 and 30 for trial to commence.
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