Bank Asks Court to Compel Director to Pay Debt

Nnamdi Felix / Abuja

In a renewed drive to recover debts owed it, Union Bank of Nigeria Plc has asked an Abuja High Court to compel a member of the Board of Directors of Keystone Bank, Dr Maude Aminu-Kano, to pay a loan of N459 million he obtained from the bank in 2010 to buy a house in Lagos.

The bank was irked that despite the fact that the Central Bank of Nigeria knew that Aminu-Kano was owing it huge sums, the apex bank appointed him as a board member of Keystone Bank.

In a counter-claim filed by Union Bank’s lawyer, Mr. Chimezie Ojiabo, the bank said that Aminu-Kano took a loan facility of N260 million to buy a Five Bed-room detached house with guest chalet and four room boys quarters located at No 3c Bank Road, Ikoyi, Lagos under the presidential implementation committee on Federal Government Landed Property Scheme.

It further stated that as at close of work on October 8th, 2012, the total indebtedness of Aminun-Kano to the bank stood at N459,443,799.29

As the bank began to take steps to sell the property to realise the loan, Aminu-Kano went to court claiming that Union Bank was not entitled to sell the property because the bank’s management was still negotiating with him.

He urged the court to order the bank to pay him N5 million as general damages for breach of understanding and inconveniences suffered by him.

He also asked the court to compel the bank to return to him the certificate of occupancy in respect of his house in Abuja which he used as collateral for the loan.

The claim that the bank’s management was negotiating with him was denied by the bank and further submitted that the debtor had no plans to repay the loan in the hope that Union Bank would go under so he would escape liability to pay the loan.

The bank stated that seven months after the expiration of the date of repayment that Aminu-Kano asked for interest waiver on the loan for which the bank gave him a concession and asked him to pay N310 million within 60 days as full and final settlement of his indebtedness.

The bank stated that he however failed to take advantage of the concession granted him consequent upon which the bank appointed Mr Chikwendu Madumere as a debt recovery agent to recover the debt.

Madumere consequently wrote a letter of demand to Aminu-Kano but he still refused to pay back the loan.

“The plaintiff does not want to repay the loan and does not want the bank to realize the security for the loan” the bank noted and described the suit filed by the Aminu- Kano as a “design by him to use the instrumentallity of the court to frustrate the bank and avoid his obligation to the bank.

The court, presided by Justice Hussain Baba, adjourned the case to April 25th for continuation.