Dangote's Brother Sani's Accounts Frozen Over N5.2bn Loan

A Federal High Court in Lagos on Thursday restrained twenty commercial banks in Nigeria from honouring any withdrawal cheque from Sani Dangote, younger brother of the richest black man, Aliko Dangote and his companies, Dansa Foods Limited and Bulk Pack Services Limited.

The restraining order, according to the trial judge, Justice Okon Abang, is to be in force until September 11, 2014 when all applications filed in a suit brought by Union Bank against Dangote and his companies .

The judge also ordered all the banks involved to, within five days of the interim order, file affidavits declaring the defendants statement of accounts with them.

Union Bank had taken Dangote and his companies to court over alleged refusal to liquidate about N5.2bn loan granted them since September, 2008.

The bank, through its lawyer, Mr. Chukwudi Enebeli from the chambers of Mr. Kemi Pinheiro (SAN) had instituted suits seeking an order of mareva injunction to restrain all the defendants’ banks in Nigeria from allowing them withdraw funds from their accounts pending the determination of the suits.

The banks named are  Access, CITI, Diamond, Ecobank, Enterprise, Fidelity, Keystone, Mainstreet, Skye, Wema, Heritage, Sterling, Unity and Zenith Banks.

Others are  First Bank, First City Monument Bank, Guaranty Trust Bank, Stanbic IBTC, Standard Chartered Bank and United Bank for Africa.

In the affidavits in support of its suits, Union Bank Plc urged the court to urgently grant the mareva order  because in a bid to evade payment of the loan, Dangote has been making frantic efforts to deplete the funds in the accounts of his companies, and that the bank’s investigations revealed that the defendants had started diverting the funds to Dubai in the United Arab Emirates, Canada and Switzerland.

One Olufunmilola Ayoola, an official of the bank, who deposed to the bank’s affidavit,  alleged that the failure of the defendants to liquidate the monumental debt had negatively affected the Nigerian economy, a development which the bank claimed necessitated the suits.

According to Ayoola, Union Bank Plc has been having difficulty in extending credit facilities to small scale businesses which in turn would have helped in boosting the nation’s economy and salvage the country from its present malaise of corruption and under development crisis.

Read more @ http://newsnownigeria.com.ng/shocking-court-freezes-dangotes-accounts-in-20-banks/