By Innocent Anaba

LAGOS -A Federal High Court sitting in Lagos will, July 13, hear the petition filed by Access Bank Plc for the winding up of Negris Holdings Limited over its inability to pay back the N2.7 billion credit facility the bank granted Negris Holding.

Trial judge is Justice Okon Abang. It will be recalled that the judge had, in February, restrained the firm, its directors and agents from tampering with its funds in any bank or financial institution in the country, pending the hearing and final determination of the application for the appointment of a provisional liquidator.

The court had also restrained the firm from tampering or dissipating any of its fixed and movable assets, property and machinery.

The judge had also ordered the bank to serve all necessary processes on the firm and directed it to file an undertaking to indemnify the firm in damages in the event that the order ought not to have been made.

Access Bank, in the petition, had claimed that as one of its customers, it gave N2.7 billion facility to Negris, which it accepted with all the conditions through an offer letter dated July 18, 2008.
According to the bank, the amount was to finance the acquisition and take over of the Nigerian Newsprint Manufacturing Company Limited, which was in liquidation.

The bank added that the offer letter provided for a duly executed board resolution accepting the offer, duly executed documents to perfect tripartite legal mortgage on the property known as All Seasons Plaza on Leteef Jakande Road, Agindingbi, Ikeja and all assets and debenture of Negris Holdings Limited.

It said despite the signing of the offer letter and disbursement of the facility, the respondent has willfully refused to execute the legal mortgage and debenture itemised in the agreement.

But the firm prayed  the court to set aside the order and dismiss the suit in its entirety. It also urged the court to stay execution on the orders, contending that the bank made some false representations and suppressed material facts at the point of obtaining the orders.