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Just In : Otedola, Zenith Bank opt for out-of-court settlement
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By Kayode Sanni-Arewa
The Federal High Court of Nigeria, Lagos Division, dismissed the case on Thursday on receiving a notice of discontinuance from the plaintiffs.
Femi Otedola, the chairman of FBN Holdings and majority shareholder of Geregu Plc, and some of his companies have opted for an out-of-court settlement with Zenith Bank Plc.
Mr Otedola was involved in a legal dispute with the bank over alleged “fraudulent transactions” on his company’s accounts.
Court papers obtained by PREMIUM TIMES showed the Federal High Court of Nigeria, Lagos Division, where Mr Otedola and his companies filed the suit against the lender on 12 March, dismissed the case on Thursday, 13 June, on receiving a notice of discontinuance from the plaintiffs.
Zenon Petroleum & Gas Limited, Seaforce Shipping Co. Limited, Luzon Oil & Gas Limited, Garment Care and Mr Otedola were the plaintiffs, while Zenith Bank, Quantum Zenith Securities & Investment Limited, Veritas Registrars Limited and Central Securities Clearing System Plc were the defendants.
According to a court document, Justice A.O. Faji discontinued the lawsuit after the counsel for the first to third defendants and the counsel for the plaintiffs asked for the matter to be dismissed, with the “counsel for the fourth defendant not objecting.”
Mr Otedola and his companies initiated legal action against Zenith Bank and the other defendants in March, claiming that the lender disposed of his shares in the bank without authorisation, manipulated the companies’ bank accounts and fabricated some documents to conceal the alleged crimes.
He accused the lender of wrongfully calculating his debts before selling them to the Asset Management Corporation of Nigeria (AMCON), which the bank set up to buy the non-performing loans in the books of banks with the intention of recovering them thereafter.
Zenon had claimed that the letters of credit that led to the bad loans AMCON acquired were opened before the corporation took over the debt in December 2011. The company stopped operating the account after AMCON’s intervention.
According to a document seen by PREMIUM TIMES, the overdue on Zenon’s account at the point AMCON took over the liabilities was N39 billion. Zenon said Zenith Bank offered the debt to the corporation at N49 billion. AMCON ended up paying the bank N44.1 billion for the debt.
Sources with knowledge of the matter told PREMIUM TIMES in May that Mr Otedola chose to take legal action against the bank after several failed reconciliation attempts. During the month, both parties held three meetings, none yielding the desired results.
“It is clear that Zenith Bank Plc is not sincere in resolving this issue out of court and as such a time-wasting exercise,” one of the sources said.
At this juncture, we have resolved to pursue our claims via the judiciary, law enforcement, the CBN and the court of public opinion as we know that our claims are very genuine.”
According to a document detailing the deliberations of both parties at a meeting held on 20 May, Zenith Bank agreed to refund the N205 million it wrongfully debited to Zenon’s account with compounded accrued interest using a bankdraft.
Seaforce Shipping Company Limited, owned by the billionaire tycoon, said Zenith Bank presented some statements of account claiming that it owed the bank N5.9 billion as of February 2024. It added that Zenith Bank abandoned the claim after the company showed proof that Seaforce’s account was in credit as of 2018.
A source said Zenith Bank sold the 415 million shares that Zenon held in Zenith Bank for N4.9 billion in December 2010, noting that the shares were repurchased in the following month for N5.4 billion, triggering a net loss of N142.9 million.
He further disclosed that related transactions were carried out on Mr Otedola’s account, causing a net loss of N61.5 million and a combined loss of N205.4 million in both cases.
Isyaku Mohammed, the commissioner of police in charge of administration at the Force Criminal Investigation Department, summoned the managing director of Zenith Bank on 16 May over what he described as an alleged unauthorised debit to Zenon’s account.
“This office is investigating an alleged case of fraudulent misrepresentation, wrongful debit and unauthorised transactions referred from the assistant inspector general of police, FCID Annex, Alagbon Close, Ikoyi, Lagos, involving your financial institution,” the letter, a copy obtained by PREMIUM TIMES, read.
“A precis of the petition at disposal reveals that sometime in 2011, an unauthorised withdrawal was carried out on the account of Zenon Petroleum Gas Limited with number 10110385211 to the tune of Two Hundred and Five Million, Three Hundred and Forty-six Thousand, Five Hundred and Seventy-Three Naira (N205,346,573.00) without justification.”
The letter stated that Zenith Bank wrongfully opened some letters of credit after AMCON acquired the debt in 2011, which led to unsolicited loan disbursement that further plunged Zenon into indebtedness.
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Watch moment FCT minister Wike lead security operatives criminals hideout in Kukwaba
FCT Minister, Nyesom Wike on Friday, led security personnel to a criminal hideout in a shanty located in Kukwaba District, near the City Gate, Abuja, immediately after a security meeting, directing that the settlement be demolished to improve security in the nation’s capital.
Wike said criminals often retreated to the community after carrying out attacks, insisting he would not allow such a hideout to continue to exist in Abuja.
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Sad: Gunmen kill Miyetti Allah chairman two sons
Two sons of the South-East Zonal Chairman of the Miyetti Allah Cattle Breeders Association of Nigeria (MACBAN), Alhaji Haruna Sale, have been killed after gunmen attacked a cattle settlement in Oheoyya Community, Ezeagu Local Government Area of Enugu State.
The attackers also reportedly slaughtered about 40 cattle belonging to members of the association during the incident.
The attack was said to have happened at about 5:00 p.m. on Saturday, July 25, 2026, when armed men invaded the settlement and opened fire on the residents.
The victims were identified as Ahmadu and Umaru, who were both sons of the MACBAN zonal chairman.
In a statement issued by the association’s National Deputy Director-General, Gidado Siddiki, MACBAN said the attackers carried out the assault before killing dozens of cattle kept at the settlement.
The group described the incident as a painful attack on citizens involved in lawful livestock business.
The association said security personnel later found the bodies of the two victims in a nearby forest.
Their remains were recovered and handed over to their families, who buried them according to Islamic rites.
MACBAN thanked the Enugu State Government and security agencies for responding after the attack and assisting in recovering the bodies.
However, it called for a full investigation into the incident and urged authorities to arrest and prosecute those responsible.
The association also stated that its members across the South-East are engaged in legal cattle breeding, rearing and trading activities and deserve the same protection as every other Nigerian.
It appealed to residents of Enugu State to continue supporting peaceful relations between herders and host communities, saying cooperation remains necessary for peace and economic activities.
MACBAN also restated its commitment to obeying the law and working with governments, host communities and security agencies to promote peace, improve security and strengthen unity across the country.
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Doctors Perform First Successful Manhood Transplant on 43-Year-Old Man
A team of doctors in Vietnam has successfully performed the country’s first penis transplant, marking a major milestone in reconstructive and transplant surgery.
The recipient, a 43-year-old man, underwent the groundbreaking procedure at Hanoi’s Viet Duc Friendship Hospital after losing most of his penis during a partial penectomy performed four years ago.
According to the medical team, the patient was selected for the transplant after undergoing extensive medical, psychological, immunological and ethical assessments, which confirmed he was a suitable candidate for the rare procedure.
A penectomy is the partial or complete surgical removal of the penis, commonly performed to treat penile cancer or, in some cases, as part of gender-affirming surgery.
Associate Professor Dr. Nguyen Quang, Director of the hospital’s Andrology Centre, explained that the complex operation involved reconstructing the penis while reconnecting delicate blood vessels and nerves using advanced microsurgical techniques.
“In this transplant procedure, we reconstructed the anatomical structures of the penis, including the urethra, corpus spongiosum and corpora cavernosa, while simultaneously performing microsurgical anastomosis of minute arteries, veins and nerves,” he said.
He noted that combining reconstructive and microsurgical techniques required exceptional precision to ensure the transplanted organ remained viable and functional.
Doctors said the patient is recovering well, with no early complications recorded. The transplanted organ is healing as expected, and the patient is responding positively to anti-rejection medication.
Before the transplant, the patient had been able to urinate normally following his earlier surgery. However, only a very small portion of his penis remained, leaving him with significant psychological distress that negatively affected his quality of life and mental wellbeing.
Medical experts cautioned that it will take time to determine whether sensation, erectile function and long-term urinary function are fully restored. The patient will also continue to undergo close monitoring for any signs of organ rejection.
Hospital Director Dr. Duong Duc Hung described the procedure as Vietnam’s first penile transplant using an organ donated by a brain-dead patient.
He said the surgical team spent months preparing for the operation, studying international medical experience and coordinating specialists from multiple disciplines before carrying out the complex transplant.
According to international medical literature, only five successful penile transplants had been reported worldwide before the Vietnamese operation, making the procedure one of the rarest and most advanced reconstructive transplant surgeries ever performed.
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