Stallion Group has filed an attraction in opposition to Friday’s decision of the Federal High Court, Lagos, which upheld the appointment of a receiver/manager by the United Bank for Africa (UBA) in a N156 billion debt restoration swimsuit.
In a press release issued on Friday and seen by PREMIUM TIMES, the group mentioned it vehemently disagrees with the ruling and can vigorously pursue the attraction.
“Having reviewed the judgment with its legal advisers, the Group considers that there are strong grounds for appellate review and is determined to pursue its rights through the courts,” it said.
“A Notice of Appeal has been filed at the Court of Appeal and a stay of execution of the judgment pending the hearing and determination of the appeal,” it went additional to say.
Earlier on Friday, the Lagos courtroom upheld UBA’s appointment of a receiver/manager, Romeo Ese, over the belongings of Stallion Group and its subsidiaries as legitimate.
In his ruling, Justice Daniel Osiagor granted all of the reliefs the financial institution sought and affirmed the courtroom’s jurisdiction to listen to the case.
The courtroom additionally affirmed the precise of the receiver/manager, Romeo Ese, to take possession of the mortgaged property, declaring him to be entitled to hunt protecting orders.
Similarly, it affirmed the precise of the receiver/manager to take possession of the mortgaged property, the enforceability of the mortgage safety and the legal responsibility of the guarantors.
Justice Osiagor dismissed the objections raised by Barbados Ventures Limited, the twelfth Defendant, holding that it failed to determine any proprietary rights over the mortgaged property.
The courtroom restrained the defendants from diverting the receivables because of them from authorities businesses, reinforcing the financial institution’s means to guard its restoration pursuits.
The ruling affirmed the guarantors’ legal responsibility, strengthening UBA’s authorized place to recuperate the excellent obligations.
Background
In 2014, UBA availed a number of mortgage amenities to Stallion Nigeria Limited on the understanding that the credit score amenities could possibly be utilized by different firms throughout the Stallion Group in accordance with the phrases of the provide letter, the financial institution mentioned.
According to the lender, the defendants pledged belongings in Kano, Port Harcourt and Lagos as safety for the loans.
An affidavit deposed to by Anthony Chilaka, the group head, Recovery and Remedial Management Department of UBA, on 18 October 2023 confirmed that Sunil Vaswani, the chairman of Stallion Group, made a private assure concerning the amenities.
Stallion Motors secured a contract from the Federal Government in 2014 to provide 700 Ashok Leyland vans/Stallion troop-carrying autos and 50 Falcon seater buses for use by the navy on the settlement that the receivables from the federal government can be paid into Stallion’s account with UBA, the financial institution claimed.
On delivering the autos, Stallion Motors allegedly directed the federal government to make an preliminary fee of $50 million into its Dubai account and acquired N8.2 billion into its offshore account as a substitute of the UBA account, opposite to the sooner understanding between the events.
UBA mentioned the defendants did not settle their money owed totalling N156 billion.
Acting on an order of the Federal High Court, Lagos, in November 2023, UBA took over Stallion Group’s belongings and people of its subsidiaries in Lagos, Kano, and Port Harcourt as half of the debt restoration push.
The belongings comprised mortgaged property referred to as “all that piece or parcel of land together with any building thereon” at Plot 371, Trans Amadi Industrial Layout, Port Harcourt, Rivers State.
“Plot 353, Trans Amadi Industrial Layout, Port Harcourt, Rivers State, Plot 370, Trans Amadi Industrial Layout, Port Harcourt, Rivers State, KM17, Lagos-Badagry Expressway, Lagos State and No. 54, Challawa Industrial Estate, Kano State, Nigeria.”
READ ALSO: Court upholds appointment of receiver/manager in UBAs debt recovery suit against Stallion Group.
In October 2023, UBA secured interim orders to implement its safety over the pledged belongings.
Stallion Group claimed in November 2023 that it made substantial repayments and had initiated talks to reconcile and restructure the account.
In July 2024, Justice Akintayo Aluko of the Federal High Court, Lagos, famous that he had been knowledgeable by the chief choose {that a} counsel to 1 of the defendants had requested that the case be transferred from his courtroom
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