Legal Nigeria

Supreme Court voids AMCON takeover of Lagos hotel

The Supreme Court on Friday affirmed the judgment of the Court of Appeal Lagos nullifying the takeover of the landed property of Suru Worldwide Ventures Nigeria Limited by the Asset Management Corporation of Nigeria (AMCON).

Justice Emmanuel Agim in his judgment dismissed the appeal brought to it by AMCON and affirmed the lower court’s decision to halt the company’s takeover and ordered a new hearing at the High Court.

“I find no merit in this appeal. The judgment of the court of appeal is hereby affirmed”, Agim declared.

The appellate court had in a lead judgment by Justice Ugochukwu Ogakwu, held that the failure of AMCON to join Suru Worldwide Ventures Nigeria Limited as a defendant in its suit before the Federal High Court rendered the proceedings leading to the takeover order nullity.

The court also ordered that the matter be returned to the Federal High Court for a fresh hearing.

A Federal High Court in Lagos had ordered the takeover of the company’s property by AMCON for not paying the loan obtained from the defunct Oceanic Bank.

AMCON had prayed the court to order security agencies to offer it protection to enable it to exercise its possessory rights as a legal mortgagee under the Deeds of Legal Mortgage, over Suru Worldwide Ventures Nigeria Limited’s landed properties.

But Suru Worldwide Ventures Nigeria Limited appealed against the judgment on the grounds that it was denied a fair hearing because it was not joined as a defendant.

Source: (NAN)