Union Trustees Limited has approached the Court of Appeal against to challenge the ruling of Justice Daniel Osiagor of the Federal High Court in Lagos that vacated an ex-parte order freezing the assets of Union Homes Savings and Loans Plc.
Union Trustees Limited also filed an application seeking to stay the execution of the order.
Respondents in the suit are: Union Homes Savings and Loans Plc, Aso Saving and Loan Plc and Union Bank of Nigeria Plc.
The applicant is asking the Appeal Court to set aside the ruling of the Federal High Court delivered on Wednesday, which discharged/varied the interim Mareva Order and Order for the appointment of Receiver /Manager made on February 24, 2022.
The applicant based its application on the ground that the lower court erred in law when it heard and determined the motion on notice dated March 7, 2022, filed by Dr Muiz Banire (SAN) when his competence to represent Union Homes Savings and Loans Plc had been challenged.
It also argued that the hearing and determination of the application filed by Banire was wrong as the court ought to have first resolved the issue of legal representation before proceeding to other substantial issues such as the motion to vary/discharge the interim orders.
Union Trustees, in its motion for stay of execution of the ruling filed before Justice Daniel Osiagor, is asking the judge for an order suspending the effect of the ruling vacating the Mareva injunction pending the determination of its appeal at the Court of Appeal.
It is also seeking an order of injunction pending appeal maintaining status quo and restraining the respondents whether by themselves or their counsel, agents or privies from taking any steps whatsoever to interfere with the orders of February 24, 2022, or the ongoing Receivership of Union Homes Savings and Loans Plc pending the determination of the Applicant’ appeal to the Court of Appeal.
The applicant is further praying the court for an order restraining the Respondents whether by themselves or their counsel, agents or privies from publishing, either by social media, by print or electronic publications, however, described or by making any form of representation to the public in respect of the first and second Respondents as relates to the vacation of the Orders of the court and/or the ongoing Receivership of the 1st Respondent, pending the determination of the Applicant’s appeal to the Court of Appeal.
In an affidavit attached to the application, Union Trustees Limited claimed that it commenced this suit for the recovery of debt owed by the first and second Respondents to the tune of N41.2 billion.
It also stated that to preserve the Respondents’ assets pending the determination of the suit and forestall a dissipation of assets, its applied and obtained an Order of Mareva injunction freezing the funds and assets of the Respondents as well as an Order appointing a Receiver/Manager for the first Respondent its undertakings, businesses and assets for the preservation of same among other orders.
On March 23, the court delivered a ruling vacating the orders notwithstanding that another counsel had filed a notice of preliminary objection dated March 22, 2022, to challenge the authority of counsel representing the first Defendants to act as counsel to the said Respondent in this suit.
