N1.8bn Debt: Court Endorses AMCON, Abiola’s Terms Of Settlement

 of Nigeria (AMCON) and the son of Moshood Abiola, the acclaimed winner of June 12, 1993. presidential election, Kolawole Abiola, his company, 35 Oil and Gas Nigeria Limited, and Dr. Zulikat Wuraola Abiola.

What led to the consent judgment was as a result of debt recovery suit of N1,891,532,469.21 filed against the defendants, 35 Oil & Gas Nigeria Limited, Kolawole Abiola, Dr. Zulikat Wuraola Abiola, and one Mr. Tajudeen Olawale Jinadu.

The court, in its ruling dated 17th day of June 2019, predicated on an application filed and argued before it granted an order directing 19 commercial banks in Nigeria named in the application filed before the court to freeze the accounts of the defendants to the sum of N1,891,532,469.21 pending the final determination of the suit.

The court also granted an order directing all the financial institutions within the jurisdiction of the court, particularly those named in the application file before it to produce and furnish the statement accounts of the defendants stating the total sum standing to their credit within seven days of the service of the ruling of the court on them.

The court also granted interim forfeiture of the interest of the defendants in 35 Oil&Gas Nigeria Limited, Crittal -Hope Nigeria Ltd, Banusho Fishery Ltd, Beta Glass Plc. and Management Transformation Ltd.

It further granted an order of Interim possession to the claimant of the following property of Mr Tajudeen Olawale Jinadu situate at: Plot 211E, Block 13,Amuwo Odofin area of Lagos State; Plot 28,Block29, Ipaja New Town Residential Scheme, Alimosho Local Government Area of Lagos State; Property situated along Ijaye Street, off Idimu Road, Oduwole, Alimosho Local Government Area of Lagos State; property situated at Babs Adepegba Close, Fagba, Iju Road, Ifako Ijaye Area of Lagos State and property situated at 5,Akintan Street Street, Dideolu Estate Ogba, Lagos State, pending the final determination of the suit.

In a related development, the court, in its ruling dated the 5th of July, 2019 predicated on application filed before it by AMCON also granted an order of substituted service to serve the defendants in the court process through the front desk staff or administrative staff of 35 Oil & Gas Nigeria Limited in its office at 7 and 8 Udi Street, Foreshore, Osborne, Ikoyi, Lagos.

Subsequently, the case was adjourned to 10th of July, 2019, for the argument of Mr. Tajudeen Olawale Jinadu for an order setting aside the interim order made by the court on 17th of June, 2019.

The court, in its ruling dated 10th of July, 2019, predicated the said application filed by Mr. Tajudeen Olawale Jinadu granted an order setting aside the order granted against Mr. Tajudeen Olawale Jinadu and struck out his name from the suit.

Thereafter, terms of the settlement were filed before the court, urging the court to endorse it as their consent judgment.

In the terms of Judgement, the parties-AMCON, 35 Oil & Gas Nigeria Limited, Mr. Abdulateef Kolawole Abiola, and Dr. Zulikat Wuraola Abiola respectively agree to the complete full and final settlement of the AMCON claim against the aforementioned defendants on the following terms.

*The defendants shall pay a concessionary sum of N373,620,518.42k in full and final settlement of AMCON against the defendants.

*Upon the execution of this Terms of the settlement between the parties and upon entering same as the consent judgment in this matter, the defendants shall make immediate good faith payment of a sum of N73,620,518.42 which said sum already paid by the defendants.

*The restructured balance of N300 million of the settlement amount of N373,620,518.42k shall be paid in six calendar months in the monthly installment of N50 million, the effective date for repayment of the restructured amount shall be from 18th July 2019 through 17th December 2019.

*Upon acceptance of the terms of this settlement, the defendants waive their right to contest the debt and charges thereon with either Unity Bank Plc, Keystone Bank Ltd or AMCON in this matter.

*All the concession granted under the terms of settlement shall be revoked by AMCON if the defendants default.

However, the presiding Judge, Professor Chuka Obiozor has endorsed the terms of settlement as a consent judgment.