AMCON writes 34 Nigerian financial institutions, demands freeze of General Hydrocarbons’ assets

The Asset Management Corporation of Nigeria (AMCON) has written thirty-four financial institutions in the country, requesting them to freeze the assets of General Hydrocarbons, an oil servicing firm.

General Hydrocarbons is majority-owned and controlled by Nduka Obaigbena, the chairman and editor-in-chief of THIS DAY newspaper and ARISE Media Group. The company is currently in receivership.

In one of the letters dated 6 November 2025, obtained by PREMIUM TIMES, Adedeji & Owotomo, LLP, counsel to Seyi Akinwunmi – the receiver/manager AMCON appointed to take over the company – informed First Bank Limited that the Federal High Court Lagos on 24 October issued a Mareva injunction barring the bank from releasing or dealing with any funds/assets of the firm until the determination of the motion on notice in a pending suit.

“We therefore urge you, in the strongest terms, to comply strictly with the terms of the said order by freezing all accounts, deposits and place post no-debit on all accounts maintained by as well as assets belonging to the first applicant [General Hydrocarbons (in receivership)] in your custody and control,” the letter read.

The lawyers also instructed the lender to avoid heeding any instruction or transactions in respect of General Hydrocarbons pending the hearing and determination of the motion on notice in the suit.

Court documents seen by PREMIUM TIMES showed Justice Akintayo Aluko of the Lagos court had on 24 October 2025 granted an order of Mareva injunction prohibiting thirty-four financial institutions from releasing or dealing with all monies and assets due to Global Hydrocarbons from any account maintained by the company, its agents, proxies and subsidiaries with any of the banks.

The order will persist until the hearing and determination of the motion on notice in the suit, the judge said.

The banks include Guaranty Trust Bank, Access Bank, Citigroup Bank Nigeria, Ecobank Nigeria, Fidelity Bank, First Bank of Nigeria, First City Monument Bank, Flutterwave Technology Solutions, Globus Bank, Heritage Bank, Jaiz Bank, Keystone Bank, OPay Digital Services, Palmpay, Paystack, Piggyvest, Momo Agent, Polaris Bank, Providus Bank, Stanbic IBTC Bank Nigeria and Standard Chartered Bank Nigeria.

Others are Sterling Bank, Suntrust Bank, Union Bank of Nigeria, United Bank for Africa, Unity Bank, Zenith Bank, Optimus Bank, Signature Bank, Wema Bank, Parallel Bank, Premium Trust Bank, Nova Commerical Bank and Alpha Commercial Bank.

The judge also granted leave to Mr Akinwunmi, suing as the receiver of General Hydrocarbon, to take over and preserve the properties and assets of the company on the basis of Mr Akinwunmi’s appointment as the receiver of the company, according to the deed and notice of appointment both dated 18 September 2025.

Meanwhile, court papers seen by PREMIUM TIMES revealed that Justice A Lewis-Allagoa of the Federal High Court in Lagos had earlier on 22 September 2025 issued an order of interim injunction preventing AMCON’s managing director, First Bank’s and the attorney general of the Federation from involving in any action against General Hydrocarbons or its assets in respect of a debt incurred by Atlantic Energy Drilling Concept Nigeria Limited to First Bank pending the hearing and the determination of the motion on notice in the suit.

The order also forbade the four from taking any steps or continuing any moves to enforce any rights against the energy firm or its assets.

The rights, the court said, include “but not limited to freezing the accounts of the applicant, its directors or shareholders, the appointment of a receiver/receiver manager, asset manager, recovery agent, etc., over the applicant, the applicant’s assets, or the assets belonging to the applicant’s directors or shareholders.”

First Bank Vs General Hydrocarbons: A Background

On 28 October 2025, General Hydrocarbons was directed by an arbitral tribunal to pay First Bank of Nigeria $112,100 and N111.25 million in legal and arbitration costs.

Justice Akaah Kumai, who gave the order, said failure by General Hydrocarbons to comply will attract a 10 per cent annual interest rate until full settlement.

The legal action resulted from a subrogation agreement dated 29 May 2021 under which General Hydrocarbons undertook to clear an outstanding debt of $718 million incurred by Atlantic Energy to First Bank. AMCON later purchased the liability as an eligible bank asset.

However, First Bank undertook to provide additional credit to fund the development and production of OML 120, held by Global Hydrocarbons, as per the terms of the agreement.

The bank said General Hydrocarbons defaulted on its repayment obligation, causing it to seek arbitration after failed attempts at recovery.

General Hydrocarbons claimed the lender breached the terms of the agreement by failing to provide absolute and timely financing, sabotaging alternative funding efforts, and causing losses including liabilities to third party and resulting in loss of productive time in the development of OML 120.

First Bank asserted that its financing obligation was conditional and not absolute but subject to review and professional discretion in line with banking policies and regulations.

The arbitral panel maintained that First Bank’s obligation to fund OML 120 development is conditional, and not absolute.

It noted that General Hydrocarbons did not convincingly prove that First Bank committed any breach.

The tribunal dismissed the allegation that First Bank sabotaged alternative financing arrangements on the ground that the claim lacked merit.

It refused all the reliefs sought by General Hydrocarbons, including damage for unpaid contractor fees, losses and termination of the subrogation agreement.

“GHL is not indebted directly or indirectly to AMCON in any way, shape or form, and GHL does not have any non-performing loans with FBN, AMCON or indeed with any other bank or financial institution,” the company noted in a statement on Thursday.

It described AMCON’s action in appointing a receiver/manager to take over General Hydrocarbons as an “unlawful attempt.”

The company has vowed to strongly resist the effort to take over its assets, saying it has moved to set aside the “inconsistent arbitration award” at the Federal High Court. (Premium Times)