In a bid to salvage the sum of three billion, seven hundred and forty-three million, one hundred fifty-two thousand, five hundred and nine eighty Naira which was advanced to E- Settlement company, Providus Bank Limited has applied to a federal high court in Lagos urging the court to set aside an order granted the company to convene a meeting of its creditors to pass a scheme of arrangement.

In an affidavit sworn to by the Head, Loan Recovery & Remedial Management of Providus Bank Limited,Olayinka Lawuyi, he avers thus:

Providus Bank is one of the creditors of the E-Settlement Limited with the sum of N3,743,152,598.57 (three billion, seven hundred and forty-three million, one hundred and fifty-two thousand, five hundred and ninety-eight Naira, fifty-seven Kobo)being owed to it by E-Settlement Limited.

The bank provided E-Settlement Limited with an overdraft facility to the tune of N2,600,000,000 (Two Billion and Six hundred Million Naira only) upon its application to enable E-Settlement Limited to rebook its loan balance in order to enable it to repay from its current cash flow realities.

The said facility was due for repayment on 3rd January 2025, as the agreed tenor for the overdraft facility was 365 days.

Further to the paragraphs above, PROVIDUS bank and E-Settlement Limited had already taken steps towards an agreement/compromise with respect to the loan facility, and it is a shock to the bank that while negotiating the terms of a loan restructuring privately with the bank E-Settlement Limited has taken steps to hold a court-ordered meeting of all its creditors.

E-Settlement Limited approached the Court vide an Ex Parte application dated 23rd October 2024, seeking, amongst other things, an order mandating all the creditors of E-Settlement Limited to attend a meeting for the purpose of the E-Settlement Limited, proposing a Scheme of Arrangement and Compromise to all its creditors under Section 715 of the Companies and Allied Matters.

In E-Settlement Limited’s application to the Court, E-Settlement Limited indicated that it is indebted to its creditors in the sum of N12,458,553,150 (twelve billion, four hundred and fifty-eight million, five hundred and fifty-three thousand, one hundred and fifty Naira).

By E-Settlement Limited’s Scheme of Arrangement, it wishes to defray its entire alleged N12, 458,553,150 (twelve billion, four hundred and fifty-eight million, five hundred and fifty-three thousand, one hundred and fifty Naira) with the sum of $2,000,000.00 (Two Million US Dollars), which is to be full and final payment of its alleged indebtedness to all its creditors on a pro-rata basis. E-Settlement Limited stated in its application that it is indebted to the following creditors in the following amount.

Bank of Industry: N452,326,928
Kunoch Limited: N849,896,553
Vale Blue Finance Limited: N309,400,140
VFD Microfinance Bank Limited: N30,000,000
Kuda Microfinance Bank Limited: N1,510,193,217
PROVIDUS BANK Plc: N3,795,837,670
Emirates and Highbury Limited: N4,590,065,330
Advanced Technologies Nigeria Limited: N425,072,322,9
Aza Finance: N8,870,666
Kizento Project: N170,831,000
Salaries: N324,950,000

TOTAL, N12,467,443,826

E-Settlement Limited purposefully and intentionally misrepresented and suppressed several material facts before the Court, which ought to have been openly provided to enable the Court to reach an informed decision on the application.

Mr Lawuyi avers further that as a fact that E-Settlement Limited misrepresented and suppressed material facts from the Court in obtaining the orders:

The fact that E-Settlement Limited is negotiating privately with the Providus bank on a restructuring of its loan obligations E-Settlement Limited concealed the fact that of the 11 Creditors listed in the Scheme of Arrangement, at least 3 (Three) of the said Creditors have the same/similar Directors and are controlled by the same proprietors as E-Settlement Limited herein.

As a fact E-Settlement Limited and its alleged creditors have already arrogated to themselves 49.6% out of the 80% required by Section 715(1) to pass the Scheme of Arrangement.

The Scheme of Arrangement currently proposed by E-Settlement Limited is inherently unfair to PROVIDUS Bank

As a fact E-Settlement Limited commenced the application in Suit No: FHC/L/MISC/709/2024, vide an Ex Parte Originating Summons to obtain the order therein, without the Court hearing PROVIDUS BANK or any of the other creditors on the propriety of granting the said orders.

Further to the statement above, E-Settlement Limited obtained Court orders affecting the rights and interests in the loan facility extended to it without the Court first hearing PROVIDUS bank or giving it an opportunity to be heard, a breach of it’s right to fair hearing.

E-Settlement Limited misrepresented to the Court the true and actual position of its indebtedness.

The prayers sought in this application are to protect the rights and interests of PROVIDUS Bank the party, affected by the order.

Consequently, It is in the interest of justice to grant this application. E-Settlement Limited will not be prejudiced by the grant of this application. The court has adjourned for the hearing of the application.

Nigeria’s inflation rate rose to 34.8% in December 2024, up from 34.6% in November, driven by increased demand for goods and services during the festive season.

This was revealed in the Consumer Price Index (CPI) report for December 2024, published by the National Bureau of Statistics (NBS).

The NBS stated: “In December 2024, the Headline inflation rate was 34.80% relative to the November 2024 Headline inflation rate of 34.60%. Looking at the movement, the December 2024 Headline inflation rate showed a marginal increase of 0.20% compared to the November 2024 Headline inflation rate.”

Explaining the surge, the bureau attributed the increase to heightened demand during the holiday period, saying, “This was due to December festive period increases in demand for goods and services.”

On a year-on-year comparison, the Headline inflation rate was significantly higher by 5.87% compared to December 2023, when it stood at 28.92%. According to the report: “This shows that the Headline inflation rate (year-on-year basis) increased in December 2024 compared to the same month in the preceding year (i.e., December 2023).”

However, a month-on-month analysis revealed a slight deceleration in the rate of price increases. “On the contrary, on a month-on-month basis, the Headline inflation rate in December 2024 was 2.44%, which was 0.20% lower than the rate recorded in November 2024 (2.64%),” the NBS explained.

“This means that in December 2024, the rate of increase in the average price level is slightly lower than the rate of increase in the average price level in November 2024.”

What is the Dollar to Naira Exchange Rate in the Black Market (Parallel Market/Aboki FX)?

Below is the black market Dollar to Naira exchange rate for January 14, 2025. You can exchange your dollars for Naira at these rates:..

Black Market Dollar to Naira Exchange Rate (Aboki FX):

Buying Rate: ₦1650
Selling Rate: ₦1660
According to sources at Bureau De Change (BDC) outlets, the exchange rate in the Lagos parallel market shows that players are buying dollars for ₦1650 and selling for ₦1660 on Tuesday, January 14, 2025.

It is important to note that the Central Bank of Nigeria (CBN) does not recognize the parallel market and has directed individuals seeking foreign exchange (forex) to approach their banks.

CBN Official Dollar to Naira Rate
Highest Rate: ₦1560
Lowest Rate: ₦1545
Please note that the forex rates mentioned in this article may vary depending on location and market conditions.

Rising Fuel Prices in Nigeria
Meanwhile, the cost of loading Premium Motor Spirit (petrol) and other refined petroleum products at depots surged on Monday, raising concerns about potential increases in pump prices across the country.

According to The PUNCH, oil marketers increased depot prices for petrol and diesel by ₦43 (4.74%), driven by rising crude oil prices. Brent crude, the global benchmark, reached $79.76 per barrel on Sunday, fueling the cost hike.

Several depots adjusted their petrol loading prices:

Swift Depot: ₦950 per litre (up from ₦907)
Wosbab Depot: ₦950 (up from ₦909)
Sahara Depot: ₦950 (up from ₦910)
Shellplux Depot: ₦960 (up from ₦908)
Chipet Depot: ₦960 (up from ₦908)
Other depots followed suit:

Nipco Depot: ₦950 per litre (up from ₦912)
Matrix Warri Depot: ₦945 (up from ₦925)