The board members were identified as K.C. Akuma, Adeola Ijose, Charles Onwera and Yomi Adeyemi, who were recently appointed to the board of the company.
A former Bank Executive Director, Henry Ajagbawa, and board members of the Benin Electricity Distribution Company (BEDC) on Wednesday allegedly broke into the premises of the company in Benin, Edo State capital, despite a subsisting court order restraining them from “any unlawful occupation.”
The board members were identified as K.C. Akuma, Adeola Ijose, Charles Onwera and Yomi Adeyemi, who were recently appointed to the board of the company.
A Federal High Court in Abuja had during the week issued an order restraining Fidelity Bank Plc and other co-defendants from taking over BEDC, pending the hearing and determination of the motion on notice dated July 8, 2022.
The other defendants are the Nigerian Electricity Regulatory Commission (NERC) and Corporate Affairs Commission (CAC).
Those affected by the order include the Bureau of Public Enterprises (BPE) and the Nigeria Police Force (NPF).
In the suit (FHC/ABJ/CS/1113/2022), Vigeo Power, the majority shareholder of BEDC is praying the court for an order of interim injunction restraining Fidelity Bank Plc, whether directly or indirectly, through its directors, managers, officers, employees, servants, consultants, attorneys, agents, representatives, privies, however so-called, persons acting under its instructions and control, including the entities set out into this application from altering or further altering board composition of BEDC Electricity Plc (BEDC) or working in concert with any person or party to alter the board composition of BEDC.
The applicant also prayed for an order of interim injunction restraining NERC and CAC, whether directly by themselves or indirectly, through their directors, managers, officers, employees, servants, consultants, attorneys, agents, representatives, privies, and so-called, persons acting under their instructions and control, including the entities, set out into this application from registering or recognising Henry Ajagbawa, Charles Onwera, Yomi Adeyemi, K.C. Akuma, Yomi Adeyemi as directors of BEDC, pending the hearing and determination of the motion on notice dated July 8, 2022.
Vigeo also prayed the court for an order of interim injunction restraining Henry Ajagbawa, Charles Onwera, Yomi Adeyemi, K.C. Akuma, and Yomi Adeyemi, whether directly by themselves or indirectly, through their consultants, attorneys, agents, representatives, privies, however so-called, persons acting under their instructions and control, including the entities, set out into this application from parading themselves or holding themselves out as directors of BEDC, pending the hearing and determination of the motion on notice dated July 8, 2022.
Besides this, the applicant also asked the court for an order of interim injunction restraining Henry Ajagbawa, Charles Onwera, Yomi Adeyemi, K.C. Akuma, and Yomi Adeyemi, whether directly by themselves or indirectly, through their agents, representatives privies, however so-called, persons acting under their instructions and control, including the entities, set out into this application from taking over the management and control of the affairs, assets and undertakings of BEDC, pending the hearing and determination of the motion on notice dated July 8, 2022.
However, despite the order, sources told SaharaReporters that the defendants led by Ajagbawa invaded the premises of BEDC office in Benin and broke into the office of the Managing Director and the board room bragging of government protection.
They also refused to accept service of the court order served on them by court bailiffs on the premises of company.
The NERC and BPE had recently announced a putative restructuring of the boards of five DisCos.
The duo had explained that the announcement followed Fidelity Bank’s activation of the call on the collateralised shares of Kano Electricity Distribution Company, Kaduna Electricity Distribution Company and BEDC Electricity Plc in a bid to take over the respective boards of the DisCos over the alleged inability to repay loans obtained to acquire majority stakes in furtherance of the 2013 privatisation exercise.
Consequently, the management of BEDC responded by issuing a press statement explaining that there was no contractual, statutory or regulatory basis for the takeover and appointments.
The company said, “For the avoidance of doubt, the shares of BEDC have not been given as security to Fidelity Bank or to any other party.”
According to the management of BEDC, it was “Vigeo Holdings Limited (VHL – a non-shareholder of BEDC) that obtained credit facilities from Stanbic IBTC Bank Limited, Fidelity Bank Plc, and Keystone Bank Plc (the VHL Lenders).”
It noted further that the said credit facilities have in the meantime become the subject of litigation in a court action instituted by VHL and other plaintiffs (the VHL Action) with Suit No: FHC/L/CS/239/22 – Vigeo Holdings Limited and 4 Ors v. Stanbic IBTC Bank Limited, and therefore, subjudiced.
Worried by the development, Vigeo Power Limited, the majority shareholder of BEDC had filed a suit and obtained injunctive orders at the Federal High Court in Abuja to restrain Fidelity Bank Plc, Henry Ajagbawa, and the other co-defendants from taking over BEDC pending the hearing and determination of the motion on notice dated July 8, 2022.