By Abdulwahab Abdulah

A Lagos High Court has fixed June 1, 2011 to hear a motion asking it to reject a plea by a service provider company, XL Management Service Limited requesting that the court prevail on Bank PHB Plc from collecting an outstanding N25 million debt owed the bank.

The trial judge, Justice Morenike Obadina fixed the date after it could not go on with the proceedings due to a fire outbreak in the court.

XL Management and its director, Mr. Charles Nwodo, Jnr have prayed for a leave of court granting it “to pay the outstanding balance out of the judgment sum as contained in the ruling of Justice K. A. Jose delivered on October 13, 2010”, to Bank Phb plc, the judgment creditor within an extended period of time.

However, in its 30-paragraph counter affidavit to the XL Management’s motion, the bank represented by Mr. Kenneth Ahia told the court that contrary to the position maintained by the judgment debtor,(XL Management Services), the company is buoyant enough to pay its debt within a shot time, “but have refused to comply with the judgment of the court.”

The bank stated that though the debtor has pleaded for extension of time to pay its debt, it however forgot to realise that the money it owed is depositors’ fund. BankPHB argued that company and its director have refused to pay their debt in spite of post judgment waivers granted it by the bank for over six months.

Claiming that it is entitled to the fruit of its judgment, Bank PHB plc told the court that “there was no special circumstance to warrant a stay of the execution of the judgment here in or justify instalmental payment.”

It further averred that the “application is a scheme to unjustly delay the payment of the judgment sum or split same in a manner that would impede its utilization by the bank,” adding that the company “is very healthy financially and a major provider of Bullion Vans to most financial institutions in this country.”

It added that “it equally operates a courier service with vehicles and motorcycles all over the town and makes income on daily basis and that it maintains a robust account in UBA plc and other financial institutions in the country.”

Apart from this Bank PHB argued that the “second judgement creditor / Applicant (Nwodo) is a high network individual and was until recently a top management staff of one of the leading Banks in the country and a major shareholder in several companies in Nigeria…”

The XL Management Services Limited had in its motion prayed the court to stay execution of the ruling of the court as relates to the payment of the judgment sum of N36, 480, 919 together with the accruing interest to the judgment creditor, (Bank PHB Plc) pending the hearing and determination of its motion on notice.