Representation Dispute in GHL v. AMCON: Court to Rule December 8, 2025
Justice Ambrose Lewis‑Allagoa of the Federal High Court, Lagos Division, has adjourned to December 8, 2025, for ruling on the dispute over who is legally authorised to represent General Hydrocarbons Limited (GHL) in its suit against the Asset Management Corporation of Nigeria (AMCON).
At the proceedings, two Senior Advocates of Nigeria—Dr. Abiodun Layonu (SAN) and Oluseye Opasanya (SAN)—announced separate appearances for the plaintiff.
Dr. Layonu argued that he remains counsel on record for GHL, having complied with the court’s directives by filing an application and further affidavit dated December 3, 2025. He contended that AMCON’s appointment of a Receiver/Manager contravened subsisting interim orders.
In contrast, Opasanya maintained that AMCON validly appointed a Receiver/Manager over GHL on September 18, 2025, and exhibited the appointment instrument in an affidavit dated December 2, 2025. He submitted that once a receiver is appointed, the board’s powers—including the authority to retain counsel—are extinguished. Citing Supreme Court precedent, he argued that the directors’ powers had been “frozen and paralysed,” urging the court to recognise the Receiver’s choice of counsel.
The representation dispute has stalled contempt proceedings initiated by GHL against AMCON. The contempt application arose from interim orders restraining AMCON from recovery actions or interference with GHL’s assets—including the appointment of a receiver—pending determination of a substantive motion.
The underlying dispute concerns Oil Mining Leases (OMLs) 120 and 121, tied to a structured recovery arrangement involving First Bank of Nigeria and Atlantic Energy Drilling Concept Limited over a major non‑performing loan.
Under a Tripartite Agreement, GHL operated the assets and applied revenue toward loan repayment.
AMCON and First Bank later accused GHL’s former management of revenue diversion, contractor defaults, and exposing the assets to operational risks.
Invoking urgency, AMCON appointed a Receiver pursuant to Sections 34 and 48 of the AMCON Act.
AMCON insists that the former directors, whose powers had ceased, unlawfully filed the suit to obstruct the Receiver. The Receiver claims to have stabilised operations and accuses the former management of relying on interim court orders to undermine the receivership.
Justice Lewis‑Allagoa adjourned the matter to December 8, 2025, for a ruling on the rightful counsel authorised to represent GHL in the proceedings.
