A new twist has emerged in the ongoing dispute between First Bank of Nigeria (FBN) and General Hydrocarbons Limited (GHL), with the potential for legal repercussions for key figures involved, including FBN Chairman Femi Otedola. A Federal High Court in Lagos has issued a restraining order against First Bank, preventing the bank from taking any action to enforce securities or claim assets from GHL, following allegations that the bank failed to honour its agreement to fund the exploration and development of Oil Mining Lease (OML) 120.
The court’s order follows claims that FBN violated the terms of its deal with GHL, which was meant to facilitate the exploration of OML 120. As part of the ruling, the bank has been prohibited from enforcing any security interests, receivables, or financial instruments related to GHL, until further court proceedings.
The seriousness of the situation is compounded by the possibility that Femi Otedola, along with other individuals linked to the case, could face arrest for contempt of court if the bank proceeds with any actions that contravene the court’s order. The move underscores the gravity of the case and the legal implications for those involved in the alleged breach of contract.
This development adds to the growing scrutiny surrounding FBN and its leadership, particularly with concerns over corporate governance and the management of high-profile financial agreements.
Peoplesmind
