AMCON vs Shebah E&P: ABC Orjiako pays $68m, makes strong commitment for further payment

Indications have emerged that ABC Orjiako, the guarantor of the loan in ongoing litigation between Asset Management Corporation of Nigeria (AMCON) and Shebah Exploration and Production (E&P) Company Limited, has made strong commitment to pay further.

The parties to the litigation met on Tuesday, September 3 and discussed how to amicably resolve the various issues that have been in public recently. Informed sources at AMCON said that in line with the outcome of the meeting, the guarantor will be presenting comprehensive repayment plan for all outstanding loans which are due to the syndicate. The agreed first tranche of payment is expected to be made latest on September 18, 2019. The business mogul had earlier paid $68 million out of the sum in dispute.

The meeting which held at AMCON office had in attendance representatives of the obligor company (Shebah Exploration and Production Limited), ABC Orjiako (the Guarantor of the loan), the representatives of the lenders Afrexim Bank, Access Bank and Polaris Bank of which is the subject of an Order of the Federal High Court made on August 15, 2019, representatives of AMCON, and the Receiver/Manager.

It was learnt that the respective parties were pleased with the outcome of the meeting. It was also learnt that the Defendant had in the pipeline plans to pay some money to the creditors prior to the AMCON intervention.

A source close to the deal said: “With this development negotiations have started. While negotiations commenced, ABC Orjiako, the guarantor of the Shebah loan, who had previously paid the sum of $68 million of his personal money to the creditors, made firm commitment for further payment.”

Source News Express