N4billion debt: Court to rule on Dangote’s objection

N4billion debt: Court to rule on Dangote’s objection

Monday, October 19, 2015 5:11 pm

Akin Kuponiyi

Sani Dangote

Sani Dangote

A Federal high court sitting in Lagos south west Nigerian, today adjourned till 1 December judgment  in an objection filed by Sani Dangote and his company, Dansa Foods Limited against Union Bank’s  deed of debenture to take over the  company over its  inability to pay a debt of N4billion.

Sani Dangote,  the junior brother of Africa’s richest man,Alhaji Aliko Dangote ran   into trouble waters after  Union Bank plc  appointed a Lagos Lawyer,Barrister Chukwudi Enebeli  as Receiver/Manager over his company Dansa Foods Limited

Enebeli was appointed under the deed of Debenture to take over all assets of Dansa Foods Limited. The Deed  has been filed and registered with Corporate Affairs Commission at Abuja.

Sani Dangote and three other Directors of the company Alhaji Abdulkaarim Lawal Kaita,Alhaji Ahmed Shehu Yakasai and Alhaji Mohammed Sani Dangote are challenging the action of Union Bank, following the bank’s bid to execute the debenture deed.

In an affidavit  by Mrs Olorunfunmilola Ayoola, head Food team of Union Bank the bank said it  granted loan of N5,200,000,000 to Dansa Foods, in the following manner:


(2)Short term loan for advertisement- N500million

(3)Equipment lease-US$2,500,000,(N300million)

(4)Equipment lease(sale and lease back)-US$2,500,000(N300milion)

(5)Import Finance-US$30,000,000(3,600,000,000)

Union Bank claimed Dansa Foods has  has failed to liquidate its indebtedness,  despite several demand letters by the bank and its solicitors on the company.

However in a preliminary objection filed before the court by Mr Ricky Tarfa SAN on behalf of the respondents,he urged the court to strike out the suit on the ground that Mr Chukwudi Enebeli being a party in the suit,lacks the capacity to act as counsel for Union Bank.

Mr Segun Odubela from the law firm of Ricky Tarfa contended that the court processes were signed by Chukwudi Enebeli as counsel acting for Union Bank plc and Dansa Foods Limited in receivership.

Consequently the presiding Judge Mohammed Yunusa  adjourned till today for  judgement to be delivered.

But when the matter was mentioned it was further adjourned till 1st of December, 2015 as the judgement was not ready.

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