Table of Contents
Key Points
- The Federal High Court in Lagos froze Nduka Obaigbena's assets over a $718 million debt to First Bank of Nigeria.
- Obaigbena's legal team challenges the Mareva injunction, accusing First Bank of unethical practices and ignoring a prior court ruling.
- Obaigbena faces ongoing financial disputes, including a UK disqualification, and claims his contributions helped stabilize First Bank in 2021.
The Federal High Court in Lagos has issued a Mareva injunction ordering all Nigerian banks to blacklist Nduka Obaigbena, the founder of Arise News and Chairman of THISDAY Media Group, alongside members of his family. The injunction, stemming from an alleged $718 million debt owed to First Bank of Nigeria, also freezes their assets within the court's jurisdiction.
The Dec. 30, 2024, ruling by Justice Deinde Dipeolu was initiated by First Bank of Nigeria, a subsidiary of FBN Holdings Plc, in a debt-recovery suit. The bank alleged that Obaigbena and his family, including Efe Damilola Obaigbena and Olabisi Eka Obaigbena, used their oil servicing firm, General Hydrocarbons Limited, to secure the loans but failed to repay them.
As a result, $225 million has been frozen in accounts linked to the Obaigbenas, and Nigerian banks were directed to halt any financial transactions involving them or their affiliated businesses.
Legal battle intensifies
Obaigbena’s lawyers at Abiodun Layonu & Co. have challenged the legality of the Mareva injunction. In a January 9, 2025, letter, they accused First Bank of forum shopping and deliberately withholding information about a prior ruling.
According to the letter, Justice Lewis Allagoa had issued a December 12, 2024, judgment restraining First Bank from enforcing claims against Obaigbena pending ongoing arbitration. The lawyers argued that First Bank’s actions undermined court processes and carried “grave legal implications.” They described the bank’s behavior as unethical and legally untenable.
History of financial disputes
This is not Obaigbena’s first encounter with financial controversies. Known for his audacious ventures in media and business, he launched ThisDay newspaper in 1995 and Arise News in 2013, an international news channel with a focus on African affairs.
Despite its ambitious reach, with studios in major global cities, Arise News has faced significant operational challenges, including protests over unpaid salaries.
Obaigbena’s financial troubles have extended beyond Nigeria. In 2021, he was disqualified from serving as a company director in the UK for seven years due to allegations of financial mismanagement at Arise News.
Dispute with First Bank
The current legal battle hinges on claims by First Bank that Obaigbena’s entities, particularly General Hydrocarbons Limited, failed to meet loan repayment obligations. However, Obaigbena disputes this narrative.
In a November 2024 filing and a subsequent petition to Central Bank of Nigeria (CBN) Governor Yemi Cardoso, Obaigbena claimed the debts were tied to liabilities associated with Atlantic Energy, a separate entity. He further argued that his contributions in 2021, leveraging resources from oil block OML 120, helped stabilize First Bank during a financial crisis.
