Ecobank Plc has asked the Federal High Court in Lagos to declare industrialist Oba Otudeko bankrupt due to his failure to repay a N4.1 billion loan granted his companies. The bank claimed Otudeko asked and was granted various loans for his companies, namely Honey Well Flour Mills, Siloam Global Services Limited and Anchorage Leisures Limited. It explained that the loan facility was originally granted Honey Well Flour Mill, but due to the failure of its public shares was extended to his other companies. Otudeko’s failure to repay the loans despite Ecobank’s purported pressure on him necessitated the suit, which the former shunned.
On this score, the bank asked that Otudeko’s estates, funds, shares or other interest in Siloam Global services ltd, Honeywell group Limited, Honeywell Flour Mills Plc, Anchorage Leisures Limited, Honeywell Oil and Gas Ltd, Uraja Real Estate Limited, Broadview Engineering ltd, Uraja Power solution ltd, Honeywell Energy Resources ltd, Hudson Power Ltd, Pivot Engineering ltd, and Pavilion Technology limited and other companies of his outside Nigeria be wound down. Also, the bank seeks the court for a disclosure of Otudeko’s net worth in line with the Bankruptcy Act.
Otudeko has failed to respond to the suit or make any appearance. The trial judge, Okon Abang, asked the bank to show it proof of service on Otudeko, despite his non-appearance, after which he would deliver his judgement. Justice Abang adjourned till Friday 11th of December,2015
Honeywell stock closed yesterday at N1.64, the lowest price for the year compared to year’s high of N4.15