Supreme Court has nullified a Court of Appeal order that froze the assets of Nestoil Limited, Neconde Energy Limited and two other firms over an alleged $1.1 billion debt claim.
In a unanimous decision delivered by a five-member panel, the apex court ruled that the appellate court exceeded its authority by granting an ex parte application against the companies.
Justice Stephen Adah, who delivered the lead judgment, held that the Court of Appeal wrongly assumed jurisdiction over issues that were not properly before it.
The Supreme Court also faulted the appellate court for issuing orders that effectively halted proceedings at the Federal High Court in Lagos.
The dispute originated from debt recovery actions filed by FBNQuest Merchant Bank Limited and First Trustees Limited in connection with financing arrangements linked to oil assets. A Federal High Court had earlier frozen the firms’ assets and accounts in October 2025 through a Mareva injunction.
However, the companies successfully argued that the order had lapsed after the statutory period, a position upheld by the trial court in November 2025.
With the Supreme Court now overturning the appellate court’s intervention, Nestoil and Neconde have regained full control of their operations while the substantive case continues at the Federal High Court.
