A Federal High Court sitting in Lagos Nigeria, Southwest Nigeria has granted Wema Bank of Nigeria Plc the power either by itself or through its appointed Receiver Manager to take over and preserve the property of a limited liability company, CMB Maintenance & Investment Company used as security to obtain loan that has not been paid, pending the determination of the substantive suit.
Joined as co-defendant in this debt recovery suit was the Managing Director of CMB Maintenance & Investment Company, Kelechuckwu Mbagwu.
The order of the court was as result of an application file and argued before the court by a Lagos lawyer, Norrison Quakers, SAN.
In an affidavit sworn to by a Relationship Manager of Wema Bank, Mr Henry Alakhume, the deponent averred that by an application dated 24th of March 2014 and signed by Kelechukwu Mbagwu, the Managing Director of CBM Maintenance & investment Company applied to Wema Bank for a loan Project Finance Facility in the Real Estate sector, to finance the completion of 17 units of detached duplexes Pearl Garden Estates at Sangotedo, Lagos State and which was granted to CMB Maintenance & and Investment by Wema bank Plc.
He said the security for the facility was agreed to be legal mortgage 7 units detached duplexes 3 blocks located at Pearl Nuga Estate, along Cardinal Anthony Olubunmi Okojie Road, Sangotedo, Lekki Expressway, Lagos State valued at N347.2 million, being develop.
Alakhume explained that six other legal mortgages were also created in respect of the properties in the security specified.
He said the defendants drew down on the facility but had since failed to meet repayment obligations and that as at January 2017, the sum of N226,496.441.09 only was outstanding and unpaid by the defendants.
“The defendants have refused and neglected to pay their indebtedness despite restructuring it several times while interest has continued to accrue on the debt and the bank has therefore exercise its right to appoint a Receiver /Manager as provided under the respective Deeds of legal Mortgages and consequently appointed Mr. Gerard Onyiuke as Receiver /manager of the mortgaged properties.,” he said.
After listening to the argument and submission of Quakers SAN., the presiding Judge Ayokunle Faji while restraining Kelechukwu Mbagwu, his company and their agents and privies from doing anything obstructing the Receiver/Manager in his lawful execution of his duties or function, granted Wema Bank Plc through itself and by its duly appointed Receiver/Manager to take over and preserve the properties of the company’s properties used as security for loan.
Thereafter, Justice Faji while adjourning till 21st of June, 2019 for further hearing also ordered the Inspector General of Police, through the officers and men of the Police Force to provide the bailiffs of the court and the Receiver /Manager with the necessary police protection while they carried out the orders of the court pending the determination of the motion on notice.