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Guaranty Trust Bank now (GTCO) has dragged 60 top executives of 13 commercial banks to court over N17 billion Anchor Borrowers Program (ABP) debt.
The people affected include the chairman, CEO, directors and company secretaries of the 13 banks.
They are facing contempt proceedings for allegedly failing to implement a No Debit Order reportedly placed on Afex Commodity Exchange accounts at the bank.
GTBank and Afex Commodity Exchange are currently involved in a legal dispute regarding the debt.
Parties said to have committed insults include Access Bank, Citibank, Jaiz Bank, Union Bank, Fidelity Bank, First Bank of Nigeria Plc, First City Monument Bank, NDIC (liquidator for Heritage Bank), Polaris Bank, Stanbic IBTC Bank, Standard Chartered Bank, Taj Bank, United Bank for Africa and Zenith Bank with their key officials.
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In suit no FHC/L/CS/911/2024 filed at the Federal High Court, Lagos, Justice CJ Aneke signed an order that the affected persons be sent to prison for not complying with the May 27 judgment.
The trial was adjourned until next Thursday.
In the May 27 ruling, 20 banks were directed to transfer money to the respondents’ credit to AFEX’s account at GTB until N17.81 billion was repaid.
The loan consists of N15.7 billion; outstanding and unpaid amounts as of April 17, 2024, as well as recovery costs and incidental costs of N2.04 billion.
The court also granted an order allowing GTB to take over AFEX 16 warehouses located in seven states and sell commodities it said were obtained under Central Bank of Nigeria (CBN) Anchor Borrower loan facilities.
The court earlier this month initiated contempt proceedings against AFEX and some of its top officials including Ayodele Balogun, Jendayi Fraser, Justin Topilow, Mobolaji Adeoye and Koonal Ghandi.
By: Babajide Okeowo
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