Court lifts asset-freeze order against Nestoil in $1 billion debt dispute

As part of activities to mark the 2022 International Women’s Day, Nestoil Group held a virtual event to celebrate women and drive gender parity

The Federal High Court in Lagos on Thursday set aside a sweeping Mareva injunction that had frozen the assets of Nestoil Limited, its affiliates, and key directors over an alleged $1 billion debt.

Justice Daniel Osiagor vacated the order after the Chief Judge of the Federal High Court reassigned the case from Justice Dehinde Dipeolu to his courtroom.

Justice Dipeolu had on Oct. 22 granted a far-reaching asset-freeze order against Nestoil, Neconde Energy Limited, and the company’s principal promoters — Ernest Azudialu-Obiejesi and Nnenna Obiejesi. The injunction barred the defendants from accessing funds, shares, or assets held in more than 20 banks and financial institutions.

The earlier order also authorised First Trustees Limited and FBNQuest Merchant Bank Limited, representing a consortium of creditor banks, to take possession of Nestoil’s assets under receivership.

Justice Osiagor’s ruling lifts the asset restrictions, effectively reversing the receivership powers previously granted.