Court bars Core Capital from embezzling investor’s N51m

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A Federal High Court sitting in Lagos has barred Core Capital Ltd and 26 other affiliated firms from dissipating the N51,079,318.37 balance left of the N81, 855,735.96 invested in the firm by an investor, Mr Olusegun Nelson Tawoju.

Vacation judge Justice Nicholas Oweibo granted the order sequel to a motion ex-parte filed and argued by Tawoju’s counsel, Mr Adekunle Ogunba (SAN).

The judge granted all the prayers except prayer three which he noted had been overtaken by events.

Justice Oweibo adjourned further proceedings till October 7.

The first to 27th Defendants/Respondents are Core Capital Ltd (A member of Cititrust Group), Cititrust Holdings Plc, Cititrust Financial Services PLC, CFS Group PLC, Cititrust Funding PLC Cititrust Capital Partners Ltd, Cititrust Credit Ltd, Cititrust Development Partners Ltd, Cititrust Africa Merchants Ltd, Cititrust Global Trading Ltd, Cititrust Microfinance Bank Ltd, Cititrust Capital Management Ltd, Cititrust Investments Ltd and Cititrust Asset Management Ltd.

Others are Cititrust Portfolio Ltd, Cititrust Securities Ltd, Cititrust BDC Ltd, Cititrust Reg. And Data Solutions Ltd,

Citi trust I.T. Telecoms Nigeria Ltd, l Cititrust Private Equity Ltd, First Guaranty Health Care Ltd, Great Hope Insurance Brokers, MR Ohio Ifiabor, Mr Yemi Adefisan, Mr Afolabi Martins, Mr Ikechukwu Ojimaga and Mr Babafemi Tajudeen Lawal

Ogunba, in the motion ex-parte, had prayed the court to, among others, put the case on the undefended list because all facts conversed in a 33-paragraph affidavits were undisputed.

According to the affidavit, the Plaintiff/Applicant on 17 March 2021, entered into a fixed deposit investment with the 1st Defendant/Respondent in the sum of N81,855,735.96.

The investment was for 117 days, commencing on 17th March 2021 and terminating on 12th July 2021, with an interest rate of 15 per cent per annum, yielding a total interest of N85,516,032.93, being principal and interest on the sum invested.

“The said investment matured/automatically terminated on 12th July 2021, and the Defendants/Respondents failed to pay the entire maturity sum in respect of same.

“The 1st Defendant/Respondent admitted it has breached its duty of care it owed the Plaintiff/Applicant on 27th July 2021 and has partly liquidated its indebtedness in the sums of N20million on 27th July 2021, and N14,436,714.59 on 30th July 2021 respectively to the Plaintiff/Applicant.”

The court heard the Defendants/Respondents jointly and severally were likely to dissipate monies standing to their credit in any other financial institution in Nigeria, leaving the Tawoju permanently deprived of his funds, unless the respondents were restrained.

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