The minister of agriculture in the government of President Muhammadu Buhari, Audu Ogbeh, has been named as a co-defendant in a debt recovery suit brought before a federal high court in Lagos by Cornerstone Leasing and Investment Company..
The company is claiming that the minister, along with the first defendant Paz Oil Limited, defaulted on the payment of the sum of about ₦903 million, being the amount due on various loans advanced by Cornerstone Leasing to Paz Oil over a two-year period.
The statement of claim filed before the court by counsel to the claimant Barrister Okechukwu Umemuo and obtained by Lagos Times stated that Cornerstone Leasing had between May 2011 and July 2013 advanced to Paz Oil various loans totalling about ₦256 million Naira. It claimed that the loans were personally and legally guaranteed by Chief Audu Ogbeh.
Paz Oil however allegedly defaulted in paying the agreed interest on the loan at the stipulated intervals and also failed to repay the loan upon maturity.
The company through its legal representatives had written a letter dated 8th February, 2017 to Paz Oil Limited demanding the loan be repaid in full. Another letter dated 14th February, 2017 was forwarded to Chief Audu Ogbeh reminding him of his obligation as the personal guarantor of the loan.
Despite these and other measures, all efforts by Cornerstone Investment to recoup their money proved abortive hence the decision to take the case to court.
The claimant is seeking the award of about ₦903 million representing the total of the various principals and accrued interests on the loans advanced to Paz Oil. It also wants the court to enter summary judgment against the defendants.
However, Justice A M Lawal, the judge of the federal high court presiding over the case, has adjourned till 19 September to hear the application for summary judgement.