The Court of Appeal in sitting in Lagos, on Friday, December 10, in a unanimous decision, dismissed an appeal by the Chairman of Global Fleet Group, Barrister Jimoh Ibrahim, challenging the decision by the Asset Management Corporation of Nigeria (AMCON) to seize 12 of his assets and freeze all his bank accounts over an alleged N69.4 billion debts.
The Court upheld the preliminary objection of AMCON and accordingly dismissed both appeals, with the implication that AMCON remains in possession of the properties attached by the order of Justice Rilwan Aikawa of the Federal High Court, Ikoyi, Lagos on November 4, 2021.
The statement recalled that AMCON, following the order of Justice Aikawa, took possession of all 12 properties through its Debt Recovery Agent – Pinheiro Legal Partners.
In what Jude Nwauzor, Head Corporate Communications Department of AMCON, described as ‘another victory for AMCON and the needed good news’ for the recovery drive of the agency, the justices of the appellate court also upheld the arguments of AMCON’s lead counsel, Dr Kemi Pinheiro, urging the court to dismiss Ibrahim’s application.
The assets include the building of NICON Investment Limited at Plot 242, Muhammadu Buhari Way, Central Business District, Abuja; NICON Hotels Limited building at Plot 557, Port-Harcourt Crescent, off Gimbiya Street, Abuja, and the building of NICON Lekki Limited also at No. 5, Customs Street, Lagos. Others are the building of Abuja International Hotels Limited located at No. 3, Hospital Road, Lagos; Plot 242, Muhammadu Buhari Way, Abuja; the former Allied Bank Building on Mile 2, Oshodi Express Way, Apapa Road, Lagos; Energy House located on No. 94, Awolowo Road, Ikoyi, Lagos; NICON Building at No. 40, Madeira Street, Maitama, Abuja; a Residential Apartment at Road 2, House A14, Victoria Garden City, Lagos; NICON Hotels Building at Plot 3, Road 3, Victoria Garden City, Lagos as well as the NICON Luxury Hotel’s Building, Garki I, FCT, Abuja.
In addition to taking possession of the properties, the court also ordered the freezing of all accounts belonging to Ibrahim and his companies including Global Fleet Oil & Gas Limited and NICON Investment Limited all of whom are defendants in suit No. FHL/L/CL/776/2016.
AMCON, had in November 2020, following a court order seized Ibrahim’s properties over an alleged debt of N69.4 billion sold to AMCON by Union Bank as a non-performing loan in the early days of AMCON.
The corporation had sometime on November 4, 2020, through its lawyers Kemi Pinheiro SAN, obtained an ex-parte order (Under Sections 49 & 50 of the AMCON Act as amended) against NICON Investment Limited, Global Fleet Oil & Gas Limited, and Jimoh Ibrahim freezing their accounts in various banks as well as attaching various properties of the companies.
Following the execution of the order, NICON Investment Limited, Global Fleet Oil & Gas Limited, and Jimoh Ibrahim through their lawyers Chief Adeniyi Akintola SAN, filed a motion dated November 19, 2020, seeking to discharge/set aside the order, which was made by Justice Aikawa. Some other entities, which AMCON alleged was linked to Jimoh Ibrahim to wit: NICON Insurance Limited, Nigerian-Re-Insurance Limited, Abuja Hotel Limited, and NICON Hotels Limited also filed an application to discharge the said order of November 4, 2020.
After hearing the two applications and the arguments canvassed by parties through their respective counsel, Hon. Justice R.M. Aikawa dismissed both applications on February 16, 2021. As a follow-up to that decision, both sets of Applicants filed independent appeals in the Court of Appeal, Lagos division.
While AMCON was represented in the appeals by Pinheiro, the first set of Appellants were represented by Chief Adeniyi Akintola SAN and the second set by Chief Bolaji Ayorinde SAN. At the hearing of the appeals on September 30, 2021, Pinheiro had raised a preliminary objection to the appeal, contending that it was incompetent because the Appellants failed to seek leave prior to the filing of the appeal.
The legal tango between Barrister Ibrahim and AMCON has persisted since the loan was purchased by the debt recovery agency in the first phase of Eligible Bank Assets (EBA) purchases from Union Bank in the early days of AMCON.
Recall that the appellate court had upheld the November 18, 2020, order of Justice Aikawa, authorizing AMCON to take over the huge debt, which the businessman has been contesting in court.
