GTBank Moves against Arisekola Alao over N6.9 billion Debt

Guaranty Trust Bank Plc (GTBank) has asked Justice Okechukwu Okeke of the Federal High Court in Lagos to enter judgment against renowned businessman, Alhaji Abdul Azeez Arisekola-Alao following his alleged failure to file his statement of defence to its claim of N6.9 billion debt.

In July 2011, the bank commenced action against Arisekola-Alao over his alleged inability to pay a N6.9 billion credit facility granted to his company.
The defendant disputed the allegation of indebtedness and in response filed seven separate suits against the bank at the Ibadan division of the Federal High Court.

In addition to the above, the defendant’s counsel, Oluwarotimi Akeredolu (SAN) filed a motion for interlocutory injunction restraining the bank from commencing winding up proceedings pending the determination of the substantive suit.

Counsel to GTBank, Dr. Olisa Agbakoba (SAN) opposed the defendant’s motion. In an affidavit deposed to by Olushola Abiloye, a lawyer in the law firm of Olisa Agbakoba & Associates, the bank’s alleged that the motion was devoid of merit.

Meanwhile, settlement talks between the bank and the alleged debtor has broken down thus leading the bank to apply for judgment.

The bank also wanted the court to order that all assets, interests and holdings of Arisekola-Alao either held personally or through third parties and privies, be liquidated and the proceeds applied towards offsetting his debts.

It further urged the court to divest the alleged debtor of all shares, interests and holdings in all public and private companies and a perpetual injunction restraining his appointment as a director in any public or private company in Nigeria.

The bank requested the court to make these orders because Arisekola-Alao is also indebted to many banks and a large number of his assets have been pledged to these banks as security for these loans.

It noted that the alleged debtor was on the edge of insolvency having lost billions of naira in his businesses and was making efforts to dissipate assets as a result of massive debts owed it and other banks.

The matter at the Federal High Court, Lagos comes up on June 11 and 12, 2012 for hearing while the suits at the Ibadan division of the Federal High Court comes up on May 8, 2012 for mention.