Justice Chukwujekwu Aneke of the Federal High Court in Lagos has fixed April 30, 2026, to rule on an application by Petrocam Trading Nigeria Limited seeking to lift an order freezing its bank accounts over an alleged N9.05 billion debt.
Background to the Case
The court earlier froze the company’s accounts after a commercial bank filed an ex parte motion. The bank said the move would protect funds it claims Petrocam and its principal, Patrick Ilo, owe as of May 31, 2025.
Petrocam Challenges Freeze
At the resumed hearing, Petrocam’s lawyers urged the court to set aside the order. They argued that the bank failed to disclose key facts when it secured the freeze.
The company said the restriction has disrupted operations nationwide and created serious financial strain. It also insisted there is no risk of funds being diverted.
Company Denies Debt
In court filings, Petrocam maintained that it fully repaid a 2014 import finance facility. It said it paid over N7.4 billion from petroleum product sales directly to the bank.
The company cited transaction records and agreements involving Total Nigeria Plc and Oando Plc as proof.
It added that the facility relied on proceeds from fuel sales and sovereign debt notes under the Federal Government’s subsidy scheme. According to Petrocam, delays in government reimbursements caused temporary gaps, but authorities cleared them between 2019 and 2020.
Dispute Over Interest Charges
Petrocam also accused the bank of ignoring directives from the Central Bank of Nigeria to waive interest on subsidy-related debts.
The firm claimed regulators directed the bank to refund excess charges, but it has not complied.
It further relied on a Letter of Non-Indebtedness dated December 16, 2024, which it said showed its account was in credit. The company argued that the bank’s current claim contradicts that position.
Co-Defendant Responds
Patrick Ilo asked the court to remove his name from the suit. He said he acted only on behalf of the company and did not provide any personal guarantee.
Bank Opposes Application
Counsel to the bank urged the court to maintain the freeze order. He argued that the alleged debt remains valid and that the case should proceed to full trial.
He warned that lifting the restriction could affect the bank’s chances of recovering the funds.
What Happens Next
After hearing both sides, Justice Aneke adjourned the matter for ruling on April 30, 2026.
Why It Matters
The case highlights growing disputes in Nigeria’s oil financing sector, especially around subsidy-era transactions and regulatory compliance.
For more on financial regulations and banking disputes, visit the Central Bank of Nigeria.
