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Breach of Contract: Court seals banks in Osogbo

By Gbenga Olarinoye

Osogbo—Tension rose at the branches of a new generation bank in Osogbo, when officials of the Osun State High Court stormed the bank premises to effect a court judgement.

Branches of the bank located at Fagbewesa, Alekuwodo, Fakunle and LAUTECH areas of the state were sealed off as workers and customers, who were around, were chased out by the court bailiffs.

Also, properties of the bank, which included vehicles, generating sets, computer sets and some undisclosed cash were carted away by the court officials.

The bank had entered into agreement with Tuns Farm in 2005 when the bank offered a credit facility of N414,000,000 to the company to develop the Abuja property projected to earn TUNS a net income of N1.152 billion.

According to a copy of the judgements delivered by three judges of the Osun State High Court, TUNS Farms Nigeria Limited was awarded the sum of N3,991,150 against the bank over alleged breach of contract.

It was gathered that the bank only released N150 million, a situation that was said to have frustrated the company’s project and caused TUNS huge loss of investment.

Justices Oyejide Falola, A. O. Ogunlade and Adeigbe Aderibigbe in separate judgements had awarded N3.8 billion to the claimant against bank.

 


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