“Court Unfreezes General Hydrocarbons Limited’s Assets” — Judge Sets Aside First Bank’s Order, Cites Suppressed Prior Ruling

The Federal High Court in Lagos has set aside ex parte Mareva orders that froze the assets of General Hydrocarbons Limited (GHL), a Nigerian oil and gas services company, and its directors.

The court ruled that the injunction violated an existing order from a court of concurrent jurisdiction.

The court, while upholding the arguments of GHL’s counsel, Abiodun Layonu, SAN as well as the arguments of Olumide Aju, SAN representing the 2nd to 5th defendants in the case, held that the injunction violated an existing order from a court of concurrent jurisdiction.

Justice Dehinde Dipeolu, in his ruling, stated that when compared with an earlier order issued by Justice Ambrose Lewis-Allagoa in Suit No. 1953, the Mareva Injunction should be set aside.

The court found that First Bank of Nigeria had failed to fully disclose Justice Lewis-Allagoa’s order, which made the Mareva Injunction incompatible with the earlier ruling.

The case stemmed from an ex-parte order granted by Justice Dipeolu on December 30, 2024, in Suit No. FHC/L/CS/2378/2024, filed by First Bank of Nigeria against General Hydrocarbons Limited.

At the sitting Wednesday, the court consequently agreed with GHL and the 2nd to 5th defendants that First Bank deliberately “suppressed facts” to mislead the court into granting the order against GHL.

The court said it had no choice but to set aside the order freezing GHL accounts as well as the accounts of all the other defendants in the case.