The Court of Appeal in Lagos temporarily restrained Nestoil Limited, Neconde Energy Limited, and two others from interfering with the duties of a receivership manager appointed over their assets amid an alleged $1.01 billion debt claim by FBNQuest Merchant Bank and First Trustees Limited.
The ex parte ruling was delivered by Justice Yargabta Nimpa, according to a certified true copy dated November 27, 2025.
Naijaonpoint notes that an ex parte motion is a legal process that does not require the presence or arguments of the defense or interested parties unless the presiding judge orders notice to the other side.
The order followed a motion on notice by the financial institutions, seeking to restrain Nestoil Limited, Neconde Energy Limited, and two others from enforcing the reversal of a Mareva injunction (freezing order) on their properties, due to alleged $1.01 billion asset dissipation plans by the respondents.
In the ex parte motion filed by plaintiffs’ lead counsel Babajide Okun SAN on November 26, 2025, the institutions requested an interim restorative injunction to reverse steps taken by Nestoil, Neconde, and their founders or staff pursuant to the Federal High Court order (coram Osiagor J.) made on November 20, 2025, which lifted the freezing orders on their properties pending the hearing of the appellants’ motion on notice.
Key requests included:
After hearing Babajide Okun SAN and Victor Ogude SAN for FBNQuest and First Trustees, the judge granted the application as prayed, holding that the order will be subsisting until the determination of the motion on notice.
The court fixed December 4, 2025, for the hearing and directed service of the order and processes on the respondents.
Okun had urged the Appeal Court to suspend the trial court’s order and restrain the respondents pending the appeal filed via notice on November 21, 2025.
He argued that the Federal High Court decision raised substantial points of law that could prejudice the case if reversal steps proceeded.
The plaintiffs claim Nestoil owes Access Bank Plc, Zenith Bank Plc, Ecobank Limited, Africa Export-Import Bank, First Bank of Nigeria Limited, First City Monument Bank, United Bank for Africa Plc, and Union Bank of Nigeria Plc (collectively “Nestoil Lenders”) $1,012,608,386.91 and N430 billion as of September 30, 2025, with accruing interest.
FirstTrust official Babatunde Adewolu deposed that Neconde, Nestoil founder Ernest Azudialu-Obiejesi, and Nnenna Obiejesi are joint and several obligors for the indebtedness.
He accused the founder of using shell companies to conceal and dissipate assets, warning that asset dissipation would prevent restoring the status quo if the appeal succeeds.
The court was informed that Nestoil and another entity are allegedly under receivership by deed, with its management no longer in control. Okun urged granting the motion in the interest of justice.
This is among Nigeria’s largest commercial disputes before the Federal High Court, with liabilities over N1 trillion in naira and dollar terms.
The outcome may influence future high-stakes debt enforcement between corporates and banks.
The outcome may influence future high-stakes debt enforcement between corporates and banks.