AMCON Accuses General Hydrocarbons of Concealing Receiver’s Appointment in $717m Debt Dispute

BY MICHAEL AKINOLA

A fierce legal battle is unfolding at the Federal High Court as the Asset Management Corporation of Nigeria (AMCON) accused General Hydrocarbons Limited (GHL) and its directors of concealing crucial information in order to secure a restraining order against the appointment of a Receiver/Manager over the company’s assets.

The dispute, which centres on an alleged debt of $717 million, has escalated into claims of suppression of material facts, abuse of court process, contempt of court, and manipulation of judicial procedures.

At the resumed hearing of preliminary objections in GHL & Anor. v. Nduka Obaigbena, counsel to AMCON and the appointed Receiver/Manager, Chief Ade Adedeji, SAN, insisted that the receivership had been validly completed on 18 September 2025, five days before GHL appeared before Justice Allagoa on 23 September to secure an order restraining the appointment of a receiver.

Chief Adedeji told the court that GHL’s indebtedness to AMCON was not in dispute, adding that FirstBank’s proposal to settle the debt never matured into a binding agreement.

He explained that the relationship among the parties was governed by a tripartite agreement involving AMCON, FirstBank, and GHL, under which AMCON maintained a first charge over the company’s principal assets, OML 120 and 121.

“The loan remains due and outstanding. FirstBank’s offer never crystallized, and AMCON’s security interest remained intact,” he submitted.

The senior advocate maintained that AMCON validly appointed the Receiver, Mr. Seyi Akinwunmi, on 18 September.

He stressed that the instrument of appointment was executed, stamped, and filed for registration before GHL rushed to court. According to him, the company only initiated the suit after receiving leaked information about the receivership.

He argued that no court would restrain a completed act, describing the relief sought by GHL before Justice Allagoa as “illegal, unlawful, and preposterous.”

Citing Supreme Court authorities, he contended that such steps amounted to professional misconduct.

Addressing claims of multiplicity of suits, Chief Adedeji explained that there was no abuse of process because the matter before Justice Aluko, brought under sections 553–556 of the Companies and Allied Matters Act (CAMA) and section 48 of the AMCON Act—pertained to a statutory receivership.

He said this was fundamentally different from the debt-related proceedings before Justice Allagoa, as the causes of action, parties, and subject matter were distinct.

“Receivership is sui generis, and the present proceedings cannot be equated with the earlier suit,” he added.

Responding to allegations of concealment, Chief Adedeji argued that the Receiver was neither a party to nor aware of the proceedings before Justice Allagoa and therefore had no duty to make any disclosure.

He further noted that a Receiver appointed over a company acts as an agent of that company, not an agent of the creditor that appointed him.

But counsel to GHL, Dr. Layonu, SAN, disagreed, maintaining that the earlier suit directly addressed the right to appoint a receiver.

Despite the substantial debt and AMCON’s allegations of possible diversion of assets, GHL continues to challenge the appointment of Mr. Akinwunmi as Receiver/Manager.

Chief Adedeji accused the company of manipulating the judicial process, insisting that the order obtained from Justice Allagoa was secured through suppression of material facts and constituted an attempt to obstruct the Receiver’s lawful functions.

General Hydrocarbons Limited was placed in receivership by a Deed of Appointment dated 18 September 2025.

On 24 October 2025, Justice Aluko issued extensive interim orders empowering the Receiver to take possession of and manage all company assets pending the determination of a motion on notice.

The orders covered all movable and immovable assets, including GHL’s Awolowo Road office and interests in OML 120, and imposed wide Mariava injunctions restraining over 30 banks and several fintechs from dealing with the company’s funds.