Federal High Court in Lagos has ordered shutting down of Anyiam Osigwe Group based on their inability to pay debt of N750 million which they’ve been owing First Bank of Nigeria (FBN) since November 2006.
Justice Ayokunle Faji granted the order on March 31 in FHC/L/CP/925/14, between FBN as petitioner and Anyiam Osigwe Group as respondent.
Dr ‘Kemi Pinheiro represented FBN, while E. I. Maduabuchi was for the respondent.
The bank’s demand, as requested by Pinheiro, was the group be wound up pursuant to the Company’s and Allied Matters Act
At the beginning of proceedings, the court analyzed the facts and arguments.
Justice Faji addressed the issue distilled for determination in the petitioner’s final written address of February 16, 2022.
The judge concurred to Pinheiro that the respondent failed to provide any evidence to show the unliquidated debt was still being disputed, as argued by the respondent.
Justice Faji rejected the claim made by the group that LD/1798/09, another lawsuit, was related to the debt.
The court discounted the Anyiam Osigwe Group’s claim that it was solvent and able to pay its debt, noting that nothing in the lawsuit could be construed as a dispute regarding the debt given that it had been dismissed and remained unlisted.
In accordance with Section 408(d) of the Companies and Allied Matters Act, 2004 (the law in effect at the time the transaction giving rise to the dispute), it was determined by the court that the bank had proven and satisfied the court that the respondent was unable to pay its debt.
In the present case, the respondent (Anyiam Osigwe Group) has not claimed to have paid the entire amount owed, according to Justice Faji.
It hasn’t even provided proof that the N750,000,000 principal has been paid.
Justice faji said:”Although a court should not hastily grant a winding up order where there are strong grounds for doing so, particularly where the dispute as to the debt is not on substantial grounds, the court will grant a winding up order, to the claim that it has only paid N230,000,000.
So, in this instance, it is. This petition should be granted because it has merit.
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