The Nigeria Deposit Insurance Corporation (NDIC), the liquidator of defunct City Express Bank, is locked in a fierce legal tussle with Princess Olusola Adedoyin-Alao, daughter of billionaire businessman Prince Samuel Adedoyin, over a case of unpaid loan which she presided over during her tenure as the managing director of City Express Bank.
In a debt recovery suit filed before the federal high court in Lagos, NDIC, through its lawyers alleges that Princess Sola, in her capacity as managing director of the bank, had on October 2, 2003 aided Bacom Holdings Limited, the company of her erstwhile husband Michael Olufemi Adeoti, to secure a N25 million Refinancing and Rediscounting Agreement for the purpose of procuring and exporting 1000 tonnes of scrap metal.
It was further alleged that Princess Sola, who was married to Mr Adeoti at that time, connived with her then-husband to engage in insider abuse, including waiving interest on the credit facility and mismanagement of the account in contravention of relevant laws, leading to an outstanding debt of N18.1 million by the time of City Express Bank’s winding up.
The NDIC is therefore seeking an order to jointly and severally compel the three defendants—Mr Adeoti, Princess Sola and Bacom Holdings—to immediately pay the sum of N18.1 million, being the outstanding balance as at January 16, 2006 and interest thereon at the rate of 24% between January 16, 2006 and the date of final judgement, and thereafter at the rate of 10% per annum till full and final liquidation of the judgement sum.