The financial troubles facing Nestoil Limited, owned by Ernest Azudialu-Obiejesi, deepened on Monday as the company’s corporate offices in Victoria Island, Lagos, have been repossessed by the receiver following a ruling by the court of appeal.
The action, which follows a “restorative injunction” granted by the court of appeal, marks a major setback for the company and its owners amid escalating legal and debt battles.
The company was previously placed under receivership by a consortium of lenders over a reported $2 billion debt based on a federal high court order.
However, Nestoil Limited and its sister company, “Neconde Energy Limited”, secured a separate high court injunction directing the receiver to suspend action.
In a motion ex-parte dated and filed on November 26, 2025, FBN Merchant Bank Ltd and First Trustees Ltd sought the following orders from the court of appeal:
“An order of interim restorative injunction reversing all steps taken by the Respondents and/or persons purporting to act on the instructions of the Respondents and which steps or actions were taken pursuant to the order of the Federal High Court coram Osiagor, J made on the 20th day of November 2025 pending the hearing and determination of the Appellants’ Motion on Notice filed on the 26th day of November 2025.”
“An order of interim injunction restraining the Respondents, their agents, servants, affiliates, and privies from interfering with and interrupting the Receiver/Manager in the performance of his duties pending the hearing and determination of the Appellants’ Motion on Notice filed on 26th November 2025.”
“An order staying further proceedings at the lower court pending the hearing and determination of the Appellants’ Motion on Notice filed on the 26th November 2025.”
The court of appeal sitting in Lagos, presided over by Yargata Nimpar, granted the application, leading to police takeover of Nestoil’s headquarters on Monday.
The order, dated November 28, 2025, also scheduled hearing of the motion on notice for December 4, 2025.
THE COURT BATTLES
A federal high court in Lagos had earlier, on October 22, 2025, issued a Mareva order authorising First Trustees and its subsidiary, FBNQuest Merchant Bank, to assume control of the company’s assets.
Justice D. I. Dipeolu granted the injunction against the defendants — Nestoil Limited, its affiliate Neconde Energy Limited, and the principal promoters, Ernest Azudialu-Obiejesi and Nnenna Obiejesi.
Dipeolu restrained all dealings relating to $1,012,608,386.91 and N430,014,064,380.77 — the total indebtedness as of September 30, 2025.
There were also additional debts personally guaranteed by Azudialu-Obiejesi, including over N366.8 billion, $61.2 million, $152 million, and N10.4 billion owed to Access Bank, First Bank, and Zenith Bank.
However, Nestoil and its promoters later approached a federal high court seeking to set aside the Mareva order prior to the latest development.