$17,079,000 loan dispute: Court halts bank’s probe by N’Assembly
The Federal High Court in Lagos has issued an order restraining the House of Representatives and the Chairman of the House Committee on Public Petitions, Michael Etaba, from further investigating Sterling Bank Limited and the Group Chief Executive Officer of Sterling Financial Holdings Company, Yemi Odubiyi, over a $17,079,000 loan dispute.
Justice Daniel Osiagor granted the interim injunction on Monday pending the hearing and determination of a Motion on Notice for an interlocutory injunction.
The suit, marked FHC/L/L/CS/185/2025, was filed by Sterling Bank Limited, Sterling Financial Holdings Company Plc, Yemi Odubiyi, Abubakar Suleiman, Lekan Olakunle, and Dele Faseemo.
Listed as defendants are the House of Representatives, Michael Etaba, Dr. Innocent Brendan Usoro, Miden Systems Limited, and the Inspector General of Police.
In a Certified True Copy of the court order obtained on Tuesday, the judge restrained the House of Representatives and Etaba, whether acting personally or through their agents, from further inviting or investigating the plaintiffs until the Motion on Notice is determined.
The plaintiffs, through a 31-paragraph affidavit deposed by Sunday Adegoke, Head of Recovery Litigation at Sterling Bank, explained that the bank had extended a Vessel Lease Facility worth $17,079,000 to Dr. Innocent Brendan Usoro and Miden Systems Limited in 2009, with a 48-month repayment period including a six-month moratorium.
However, they alleged that Usoro and Miden Systems defaulted on the loan, leading to a legal dispute.
The plaintiffs contended that despite the matter being in court, the defendants submitted petitions to the National Assembly, accusing the bank of unlawful deductions and money laundering.
According to the affidavit, the House of Representatives Committee on Public Petitions invited Sterling Bank and its executives to appear before it on February 5, 2025, despite the ongoing court proceedings.
The matter has been adjourned till February 21, 2025, for the hearing of the Motion on Notice.
