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Alleged Debt: Court Dismisses Suit Against Aiteo, Slams N8m on Applicant

Justice Olufemi Oguntoyinbo, of the Federal High Court, Lagos, has dismissed a wind-up suit against indigenous oil company, Aiteo Eastern Exploration and Production Company Limited (AEEPC).

The court did not only dismiss the wind-up suit but also awarded cost of N8million against the applicant, Charlietam International Services Limited (CISL).

The dismissal order was a result of application filed by the CISL’s  lawyer, A. A. Adekeye seeking to withdraw the suit but the AEEPC’s counsel, Mr. Emeka Ozoani, opposed  the application, urging the court to dismiss the suit instead of granting the applicant’s application.

CISL in the suit had urged the court to windup AEEPC, over alleged inability to pay the sum of N259, 068,753.00 million debt.

The applicant, a Rivers State-based oil servicing company, in the suit numbered FHC/LA/CS/1818/2019, accused Aiteo of failing to pay the money for services rendered to it between December 2017 and March 2019.

CISL  had told  the court that the suit seeking for the wind-up the company was on grounds of insolvency, pursuant to Sections 408 and 409(a) of the Company and Allied Matters Act. Before dismissing the suit and awarding cost against CISL, the applicant’s counsel, Adekeye, informed the court that she has an undated application, seeking to discontinue the suit against AEEPC.

Responding, AEEPC’s counsel, Ozoani  while admitting being served with the application, told the court that he was served with the notice of discontinuance in court . He however, told the court that there was need for parties to address the court on the applicant’s application as issued and joined on the wind-up suit.