Due to its inability to repay a N194.018 million loan to the now-defunct Platinum Habib Bank Plc, the Asset Management Corporation of Nigeria (AMCON) has been directed by Justice John Terhemba Tsoho, Chief Judge of the Federal High Court, to liquidate assets associated with Farida Bureau de Change Limited.
According to Tsoho’s ruling, which Nairametrics was able to view, loan defaulters have contributed to the failure of several banks over time.
The Abuja court was petitioned by AMCON’s attorneys, Ehi Barnabas and Ekwere Nsikanabasi Esq., in suit number. FHC/ABJ/CS/ 889/16, asking for the sale of the BDC operator’s properties since it was unable to repay the debts that were given to it.
They submitted that the defendant and two others were indebted to the claimant in the sum of N194,017,765.89 being their outstanding indebtedness to the claimant as of 4th October 2016, arising from overdraft facilities Platinum Habib Bank Plc offered to them dated April 29, 2008 and July 29, 2008 respectively.
The claimant further argued that the 1st and 2nd defendants are restrained from selling off any interest in the plots they used as collateral.
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AMCON therefore sought an order of sale of the defendants’ properties pledged as security for the overdraft facilities covering the under listed properties:
“i. An undeveloped plot of land lying and situated at Plot No. LD 1014 Cadastral Zone A-09 Guzape District Abuja.
A fully developed property consisting of 4 Nos of semi detached 3 bedroom flat lying and situate at Plot No. 135, Kugbo Extension Layout, Abuja.
iii. An undeveloped plot of land lying and situate at No. 133 Kugbo New Extension Layout, Abuja.”
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But the defense team, led by John Adam Okloho Esq, denied owing the bank in dispute or AMCON.
He explained that no money had been credited to his clients as consideration resulting from the loan agreement.
“There was no loan agreement between the 1st, 2nd defendants and the bank as being alleged by the claimant.
“The claimant has failed to produce before the court title documents allegedly pledged as collateral for the loan because the documents have at all times been in the possession of the defendants,” he submitted.
