THE LAWSUIT involving Zenon Oil President, Femi Otedola, and Bank PHB turned messier on Friday as counsel for Bank PHB, Ajibola Aribisala, told the Lagos High Court that his client - Bank PHB Managing Director, Cyril Chukwuma - was threatened by Acting President Goodluck Jonathan to reach an amicable settlement with Otedola or risk sack.
Aribisala disclosed this while reacting to an oral application moved by Otedola's counsel, Kemi Pinerro.
Pinerro had told Justice Kazeem Alogba that Bank PHB, without an order of court, caused to be published in The Guardian last Thursday an advertorial of the motion on notice and the Mareva injunction issued by the court.
Photos:Otedola and Cyril Chukwuma
He said the action is contemptuous of court and an abuse of court process.
He urged the court to compel the bank to retract the publication, failing which it would amount to self help and trying the hand of the court.
Counsel to the other defendants - Zenon, African Petroleum, Afribank Registrars, Julius Berger, Skye Bank, and Zenith Bank - agreed with Pinerro.
However, Aribisala countered that he does not need the express permission of the court to publish court documents and a court order.
He said he adopted the measure based on threats against Chukwuma from Abuja..
He disclosed that apart from Jonathan making telephone calls to Chukwuma asking him to reach an amicable settlement with Otedola, his security details were withdrawn by the Inspector General of Police, Ogbonna Onovo, thereby exposing his life to danger.
Aribisala also alleged that Jonathan threatened to have Chukwuma fired if he refuses to withdraw the suit.
He said these are a few cases of the intimidation and harassment of his client since the commencement of the court case, and that Chukwuma would depose to an affidavit on the allegations.
He asked Pinerro to cite the Section of the law breached by the publication of the advertorial.
The court granted Otedola leave to do a retraction in The Guardian and adjourned the case for further hearing.
However, Bank PHB has obtained a Mareva injunction against Zenon freezing all its accounts in 10 banks in a bid to recover a N5.839 billion debt owed it by the oil marketing firm.
The order, made by Alogba, was sequel to a statement of claim issued by Aribisala on behalf of Bank PHB, which also asked the court to cause to be transferred to it all the funds in the 10 banks that have made returns in response to the order.
The accounts, containing a total credit balance of over N2.4 billion, are in Ecobank, Finbank, First Bank, Oceanic, Skye, StabicIBTC, Standard Chartered, Sterling, Unity, and Zenith.
They were identified upon an order made by Alogba directing all banks in the country to disclose Zenon's funds in their books.
Bank PHB's request, contained in a motion on notice, is in addition to an earlier order of Alogba freezing African Petroleum (AP's) account in the bank, with a credit balance of N2.317 billion.
AP is described as a member of the Zenon Energy Group of companies, with Otedola as Chairman.
Also to be affected is the N397.8 million allegedly owed Zenon by Julius Berger, which the court ordered to be paid into an interest yielding account in the name of its Chief Registrar.
These resulted from a suit filed by Bank PHB alleging that Zenon is owing it N5,839,709,439.91 as at January 11 in loans granted between 2007 and 2008.
The defendants are Zenon, Otedola, Afribank Registrars, and Julius Berger.
Bank PHB, in the motion for mareva injunction to freeze Zenon's accounts, said the order is to prevent it from dissipating its funds in the 10 banks, with the aim of frustrating whatever the court's decision may be in the substantive suit.
It accused Zenon of breaching the terms of the credit facilities by not disclosing its earnings from its sales, failing to remit the proceeds, not fulfilling its commitment to liquidate the debt, and avoiding its obligation to the bank.
Bank PHB averred, in a statement of claim, that in the course of its banker-customer relationship with Zenon, it granted the company various credit facilities between 2007 and 2008, with Zenon accepting all the conditions.
It added that at every occasion when loan was granted Zenon, Otedola "had always guaranteed due compliance, by the first defendant (Zenon), with the bank's (claimant's) stipulated terms and conditions of the respective facilities."
It averred that, as part of collaterals for the facilities, Zenon pledged, among others, the payment of rental proceeds from its property at 3B Agodogba Avenue and 12A and 12B Parkview Estate Ikoyi, Lagos.
Zenon also allegedly pledged dividends payment from its investments in AP for 2009 and 2010; its expected proceeds from Julius Berger for the supply of Automotive Gas Oil (AGO), and mortgage on its property at 1399A or 5 Tiamiyu Savage, Street, Victoria Island.
The bank accused Zenon of defaulting and refusing to abide by the conditions and, aside repaying a fraction of the loan, refused to honour demands made by the bank since the expiration of the facility.
Bank PHB averred that Zenon's failure to comply with the agreement led to the classification of its accounts as non-performing by the Central Bank of Nigeria (CBN), and contributed to why the CBN appointed a new management for the bank..
The case was adjoined to April 29.
