Business
Court Halts Acquisition of Spring Bank
Justice Lambo Akanbi of the Federal High Court has described the role played by the Central Bank of Nigeria (CBN), the Nigerian Stock Exchange (NSE) and the Security and Exchange Commission (SEC) in the acquisition of Spring Bank Plc by Bank PHB as reckless and with impunity. Regretting their role, Akanbi in an interlocutory ruling in Lagos last Wednesday stopped the defendants from taking any steps towards the changing of the name, logo and title of Spring Bank either on its own or as member of the board of Bank PHB. Lord Chief Udensi Ifegwu and Emmanuel U. Okorie, the two aggrieved shareholders of Spring Bank had in the wake of moves by Bank PHB to acquire the bank last year, Approached the court to halt the planned acquisition. The plaintiffs argued that due process of law was ignored by the respondents in acquiring the bank. Named as respondents to the suit were Bank PHB, Spring Registrars Limited, CBN, SEC, NSE, Spring Bank and Westcom Technologies and Energy Services Limited. Upon the filing of the suit, the court in October 2008, gave an interim order, restraining the respondents from sanctioning planned acquisition of the shares of Spring Bank by Bank PHB pending the determination of the suit. It also restrained Bank PHB from passing any resolution of its meeting schedule to hold at the Ballroom of Eko Hotel, Victoria Island, Lagos or any date orday or any other place or venue, with a view to passing any resolution on the bidding for shares of Spring Bank or on the acquisition of Spring Bank in any form or shape, pending the determination of the motion on notice. Despite the court’s order, the respondents went ahead with the take over process and later announced the acquisition of the share capital of Spring Bank by Bank PHB. Justice Akanbi held that it was rather “regrettable unfortunate and sad that agencies of the Federal Government (CBN, NSE and SEC) in total disregard for the rule of law and in a brazen show of power proceeded to batter the much cherished laudable and welcome desire of President Umaru Yar’Adua to give to the country, a lasting democracy built on a solid foundation of the rule by colluding with other respondents to disregard the order of the court”. He further held that disobedience of court should be “seen as an offence, not only directed against the personality of the Judge, but as a calculated act of subversion of peace, law and order in the Nigeria society”. Justice Akanbi said he was of the view that “for a nation such as ours to have stability and respect for democracy, obviously the rule of law must be allowed to follow its normal course unencumbered. “Obedience of orders of court is fundamental to the good order, peace and stability of the society. The ugly alternative is a painful remembrance or the triumph of brute force or anarchy. I regret to observe that those agencies of government are promoting anarchy and executive indiscipline capable of wrecking the organic framework of the society. “Such a despicable act on the part of the CBN, NSE and SEC must not be condoned. It must not be condoned. It must be condemned in all its ramification and force and I have no hesitation to condemn it. The CBN, NSE and SEC acted recklessly, contemptuously and shamelessly by going ahead to do an act in which there is a pending application for the court to restrain. “The integrity of the court is at stake and court must therefore intervene to protect and preserve such integrity lest it will be made a laughing stock and will be seen no longer as the last hope of the common man.
“Payment of tuition fees for undergraduate/postgraduate studies shall be subject to a maximum limit of $25,000.00 per semester,” the Manual states.
The expansion of international card limits also reflects growing confidence among lenders that foreign exchange liquidity has improved enough to support retail dollar transactions.
Speaking recently at the BusinessDay 14th Annual CEO Forum in Lagos, CBN Olayemi Cardoso, governor of the CBN said buying and selling activities now increasingly determine outcomes in the foreign exchange market, unlike in the past when market participants relied heavily on routine Central Bank interventions.
According to Cardoso, Nigeria’s net foreign exchange reserves have risen from just over $3 billion at the start of the reform programme to more than $40 billion, while gross reserves have climbed to about $52 billion, providing stronger confidence for investors and enabling the Central Bank to reserve interventions for periods of market stress rather than day-to-day liquidity management.
The restoration and expansion of international naira card spending limits are increasingly being seen as one of the clearest signs that the benefits of the CBN’s foreign exchange reforms are beginning to reach households, students and businesses making legitimate cross-border payments.
The Secretary-General and Chief Executive Officer, WEC, Dr Angela Wilkinson, disclosed this in a statement, last Thursday.
“Nigeria’s participation comes at a pivotal time as the country seeks to expand energy access, strengthen energy security, accelerate gas development and mobilise the capital required for industrialisation and sustainable economic growth.
“WEC Nigeria will convene leaders from across the energy ecosystem, apply the WEC’s globally recognised Energy Trilemma framework to Nigeria’s unique context, and promote evidence-based dialogue, practical collaboration and informed policymaking.
“It will also ensure that Nigerian and broader African perspectives contribute meaningfully to global energy conversations,” she said.
Wilkinson expressed confidence that Nigeria would play a significant leadership role at the World Energy Congress scheduled for Riyadh in April 2027 and beyond.
The statement also quoted the Chairman of WEC Nigeria, Isa, as describing the country’s participation as an opportunity to deepen national and African leadership within the global energy community through practical solutions tailored to regional development priorities.
He said the platform would promote collaboration across sectors and attract sustainable investments into Nigeria’s energy sector.
The Chief Executive Officer of WEC Nigeria, Wunti, was quoted in the statement as saying that the council would connect leadership, evidence and investment to build a secure, affordable and sustainable energy system.
“This system will be capable of driving economic growth and shared prosperity.”
According to him, the platform will also connect Nigerian institutions and businesses with international knowledge, technology, partnerships and investment opportunities through the World Energy Council’s global network.
Recall that WEC, founded in 1923, is the world’s oldest independent and impartial community of energy leaders and practitioners, advancing informed, collaborative and practical action across the global energy system.