Court upholds appointment of receiver/manager in debt recovery suit against Stallion Group
In a judgment delivered by Justice Daniel Osiagor on Friday, the court granted all the reliefs sought by the bank, affirmed its jurisdiction to hear the case, and upheld the appointment of the receiver/manager, Romeo…
The dispute centres on a debt recovery action filed by United Bank for Africa (UBA) against Stallion Group, with the bank seeking to recover an alleged N156.03 billion owed by the conglomerate. To secure the funds, UBA had moved to appoint a receiver/manager, Romeo, over Stallion's assets and receivables, a legal mechanism lenders use to take control of a debtor's cash flow and property pending repayment when a loan default is in dispute.
The Federal High Court in Lagos, in a judgment by Justice Daniel Osiagor, affirmed its jurisdiction over the matter and granted all the reliefs UBA sought, including upholding the receiver's appointment and barring Stallion Group from diverting payments due to it. Stallion Group has rejected the ruling, saying it will appeal, meaning the receivership and the underlying debt claim remain contested even as the bank's position has been judicially affirmed at this stage. The coverage does not detail the origin of the loan facility, repayment timelines, or the specific assets the receiver will now control.