Court Overturns Receivership Order Against General Hydrocarbons Limited
A significant legal development has seen a Federal High Court in Lagos revoke a preliminary order that had placed General Hydrocarbons Limited (GHL) and its assets under the control of a Receiver Manager. The initial order had appointed Sevi Akinwunmi, representing the Asset Management Corporation of Nigeria (AMCON), to manage the company and its holdings.
Justice Adetayo Aluko presided over the Federal High Court session where the preliminary order was nullified. This crucial decision came as a direct response to a Notice of Preliminary Objection filed by the Chairman of GHL, Nduka Obaigbena. Mr. Obaigbena’s objection specifically challenged the court’s jurisdiction to hear the case brought forth by Mr. Akinwunmi.
Mr. Akinwunmi had initiated the legal proceedings with the explicit aim of enforcing the receivership over General Hydrocarbons Limited and its associated assets. However, Justice Aluko’s ruling ultimately sided with Mr. Obaigbena’s contention that the suit constituted an abuse of the court process.
Abuse of Process and Breach of Court Orders
The core of Justice Aluko’s decision rested on the prior existence of another suit, registered under FHC/L/CS/1903/2025. This earlier case involved General Hydrocarbons Limited as the plaintiff, suing AMCON and three other respondents. The court found that initiating a new suit on essentially the same matter was redundant and problematic.
Furthermore, the court highlighted that Mr. Akinwunmi and his legal counsel had commenced the current lawsuit in direct contravention of explicit orders previously issued by Justice Ambrose Lewis-Allagoa. These prior orders, issued in the aforementioned suit FHC/L/CS/1903/2025 and marked on September 23, 2025, had expressly prohibited AMCON and its agents, including any related parties or nominees, from appointing or continuing with the appointment of a receiver over GHL and its assets.
Justice Aluko emphasized that Mr. Akinwunmi, having been appointed by AMCON, was inherently an agent of the corporation and was therefore bound by the directives of Justice Lewis-Allagoa.
Suppression of Facts and Impact on Judicial Process
The ruling also addressed the conduct of Mr. Akinwunmi and his counsel, Bidemi Ademola-Bello, SAN. Justice Aluko acknowledged that they had deliberately suppressed crucial facts when commencing the suit and subsequently securing the interim orders against GHL and its assets.
The court held that had Mr. Akinwunmi and his counsel disclosed the existence of Justice Lewis-Allagoa’s prior orders, the court would not have granted the interim orders that were issued on October 24, 2025. This points to a significant issue of transparency and forthrightness in the legal proceedings.
A thorough review of the subject matter and the parties involved in both Justice Lewis-Allagoa’s case and the current lawsuit revealed them to be identical or at the very least, highly similar. The court found no justifiable reason for the institution of a new case concerning the same dispute when an existing substantive suit in the same court was capable of resolving all the outstanding disagreements between the parties.
Dismissal of the Suit and Consequences
Based on these findings, the court concluded that the suit was indeed an abuse of the court process, primarily because it was initiated in violation of the prior orders issued by Justice Lewis-Allagoa.
Justice Aluko further commented that the actions of Mr. Akinwunmi and his counsel had the potential to undermine the credibility of the judicial process. Such conduct, the judge stated, represented a considerable waste of the court’s valuable time and resources, which is an outcome that should be strongly discouraged.
Consequently, Justice Aluko formally dismissed the suit and set aside all interim orders that had been made on October 24, 2025. This decision effectively reinstates General Hydrocarbons Limited’s control over its operations and assets, free from the receivership.
