The Federal High Court in Lagos has vacated a Mareva order freezing the assets belonging to the General Hydrocarbons Limited and its directors.

The court in December ordered banks operating in Nigeria to blacklist media executive Nduka Obaigbena and members of his family over alleged debt to First Bank of Nigeria. 

The Mareva order also sought to prevent Mr Obaigbena from moving any assets linked to him from the jurisdiction of the Federal High Court. This followed a debt-recovery suit filed by the First Bank against Mr Obaigbena and his family members, including Efe Damilola Obaigbena and Olabisi Eka Obaigbena, saying they used their oil servicing firm General Hydrocarbons Limited to assume debt of about $718 million. 

The court also said banks licensed to do business in Nigeria should immediately seize financial transactions to the Obaigbenas and businesses linked to them.

However, in the latest ruling delivered by Justice Dehinde Dipeolu, the court said the Mareva order should be set aside compared to an earlier order issued by Justice Ambrose Lewis-Allagoa.

The judge noted that First Bank deliberately “suppressed facts” and misled the court into granting order against GHL.

The court discovered that First Bank of Nigeria and FBNQUEST LTD failed to fully disclose Justice Lewis-Allagoa’s order, rendering the Mareva injunction incompatible with the earlier ruling.

Meanwhile, directors of the General Hydrocarbons Limited affected by the earlier order have accused First Bank of defamation and wrongful freezing of their accounts, demanding $I billion each in damages.