The Federal High Court in Lagos has directed all Nigerian banks to blacklist Nduka Obaigbena, a prominent media executive, and his family members due to an alleged $718 million debt owed to First Bank of Nigeria.
Details of the Order
The court issued a Mareva injunction on December 30, 2024, barring Mr. Obaigbena and his family members, including Efe Damilola Obaigbena and Olabisi Eka Obaigbena, from accessing or moving their assets within the jurisdiction of the court.
Justice Deinde Dipeolu, presiding over the case (Suit No. FHC/L/CS/2378/2024), ordered the immediate freezing of at least $225 million held in bank accounts linked to the Obaigbenas and their oil servicing firm, General Hydrocarbons Limited. The order also prohibits Nigerian banks from processing financial transactions related to Mr. Obaigbena and entities connected to him.
Background of the Dispute
First Bank alleged that the Obaigbenas used General Hydrocarbons Limited to assume a debt of $718 million. However, Mr. Obaigbena, through his lawyers, disputes the claim, accusing the bank of unethical practices.
In a letter dated January 9, 2025, from his legal counsel, Abiodun Layonu & Co., the Obaigbenas argued that First Bank was attempting to hold them accountable for delinquent loans connected to Atlantic Energy. The lawyers pointed to a December 12, 2024, ruling by Justice Lewis Allagoa of the same Federal High Court, which restrained First Bank from enforcing any claims against the Obaigbenas pending the resolution of arbitration proceedings.
The lawyers accused First Bank of obtaining the Mareva order from another judge without disclosing the prior judgment, describing the action as unethical and potentially illegal.
First Bank’s Position
Neither First Bank nor its chairman, Femi Otedola, has publicly responded to the allegations or the court’s order.
Obaigbena’s Defense
In a previous petition to the Central Bank of Nigeria (CBN) Governor, Yemi Cardoso, Mr. Obaigbena claimed he played a key role in saving First Bank from financial distress in 2021. According to him, resources from the OML 120 oil block helped turn the bank’s fortunes around, transitioning it from a loss of N161 billion to a profit of N151 billion by the end of 2021.
Mr. Obaigbena insists that the ongoing legal and arbitration actions are necessary to protect his rights and prevent First Bank from “bullying” him and his family.
Next Steps
The case continues to unfold as both parties prepare for further legal and arbitration proceedings.
