Court Orders Sonny Odogwu’s Estate To Pay Access Bank N26bn

Posted on August 7, 2022

The Federal High Court in Lagos on Friday ordered the estate of the late Chief Sunny Odogwu to pay Access Bank Plc N26 billion in compliance with a 2015 judgment.

Justice Daniel Osiagor dismissed the preliminary objection filed by the estate challenging the bank’s claim and the court’s jurisdiction.

The judge affirmed a 3rd November 2015 judgment of Justice Saliu Saidu in suit number FHC/L/CS/1633/14 which ordered the defendants to pay their outstanding indebtedness of N26 billion to Access Bank.

The judge invalidated a purported consent judgment in which parties in the suit agreed on the payment of N12 billion as full and final payment.

He noted that the said consent judgment was made by a court which lacked jurisdiction in the matter.

The defendants, in their preliminary objection, had argued that having taken benefit of the consent judgment, the bank could not turn around and ask the court to set it aside.

However, Access Bank said the consent judgment was flawed, in that it was delivered by a court that lacked jurisdiction to entertain it.

Kemi Balogun, counsel to the bank, said the matter had been taken to the Court of Appeal when the lower court entered the consent judgment.

Balogun, a Senior Advocate of Nigeria, argued that only the appellate court had the power to adjudicate on such matters at that level.

Justice Osiagor said Balogun’s argument nullified the consent judgment entered by Justice Rilwan Aikawa, on the ground that he lacked jurisdiction to grant such order.

The judge affirmed the earlier judgment of Justice Saidu, which ordered the defendants to pay their outstanding indebtedness of N26 billion.

He dismissed the N12 billion consent judgment granted by Justice Aikawa, noting that courts of coordinate jurisdiction cannot grant a consent judgment after a matter has been decided.

Justice Osiagor ordered that the payment must be less all amounts earlier paid by the judgment debtor to the bank.

He also awarded N200,000 against the defendants.

Access Bank Plc and late Odogwu, the Ide Ahaba of Asaba, entered into a N26 billion loan agreement when the latter was alive.

The late businessman wanted to use the facility to build luxury apartments to be known as Le Meridien Grand Towers in highbrow Ikoyi, Lagos.

The bank demanded collateral and Odogwu mortgaged prime properties in Lagos, Abuja, Dubai, and Los Angeles to Access Bank, in return for the facility.

After the death of the businessman, the mortgaged properties eventually became subjects of litigation.

Trouble started when the estate of Mr Odogwu reacted angrily to a move by Access Bank to take over the uncompleted Le Meridien Grand Towers.


Leave a Reply

Your email address will not be published.

Latest News

The APC Presidential Campaign Council has said that Alhaji Atiku Abubakar, the PDP Presidential... Continue
The organisers of the 4th Anambra Media Excellence Awards (AMEA 2022) have announced a... Continue
The Oyo State Universal Basic Education Board, OYOSUBEB, on Friday warned the public against... Continue
FUNSHO AROGUNDADE South Africa’s feature film, ‘Surviving Gaza,’ and Ghana’s ‘Borga’ lead the 2022... Continue
CHRISTIAN ABURIME      In continuation of his working visit to the Federal Capital... Continue
inq. Digital Nigeria Limited, the leading-Edge solutions provider, with innovative business-relevant services in Edge... Continue
The Executive Chairman of Ojodu LCDA, Lagos State, Hon. Segun Odunmbaku, has hosted a... Continue
  Really, I don’t intend to bore you with a long epistolary on how... Continue
 CYRIACUS IZUEKWE      Two suspected members of a fraud syndicate, Rotimi Fisher, 42... Continue
President Muhammadu Buhari has described the United States as Nigeria’s main trading partner and... Continue


Access Bank