Company Urges Court To Wind Up Bank

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A Limited liability company, Aluminum City Limited, in an application filed before a Federal High Court in Lagos, is urging it to appoint a renowned Nigerian chartered accountant, Dr. Benedict Ebubedike Okafor, as the provisional liquidator of First Inland Bank Plc otherwise known as Finbank.

In an affidavit sworn to by a senior litigation officer, Mr. Joseph Isonginyin and field before the court by a Lagos lawyer, Chief Phillip Ndubuisi Umeh, the depondent averred that there is a pending petition by Aluminum City Limited for the winding up of the bank for inability to pay its debt and pursuant a to court’s order to advertise the said petition, it was duly advertised in two national newspapers as well as in the Federal Republic of Nigeria official gazette.

The petitioner alleged that the bank is indebted to it in the sum of N12,866,056.95 and it is unable to pay the debt and therefore, the petitioner will be highly prejudiced of the bank deliberately sells or mismanages its assets.

According to a winding up petition filed against the bank by Chief Phillip Umeh on behalf of Aluminum City Limited, it was alleged that the company carried out certain contractual work for the bank that comprised of refurbishment of various departments of its building such as the canteen and banking hall and that on 8 September, 2004, the bank who absorbed IMB International Bank that awarded the contract, had admitted in writing that it is indebted to the petitioner to the tune of N16,866,056.95.

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However, only N4 million has been paid out of the sum, leaving the balance of N12,866,056.95 as at 7 January, 2005 and since then, it has refused, failed and neglected to liquidate the said debt.

Consequently, the bank is unable to pay its debts and in the circumstances, it is just and equitable that it should be wound up by the court under the provision of the Companies and Allied Matters Act, 2004.

The suit has been adjourned till next week for definite hearing.

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