UBA seeks jail for nine WEMPCO directors

United Bank for Africa (UBA) has initiated contempt proceedings against nine WEMPCO directors over alleged disobedience of a court order, while securing an interim asset-preservation order against Swiss energy trader Vitol SA and other shipping companies in a separate $242 million petroleum products dispute.

In the WEMPCO case, the Federal High Court granted UBA’s application for substituted service of Form 49 on the directors, requiring them to show cause why they should not be committed to prison for allegedly disobeying a court order.

The directors named in the proceedings are Lewis Shui Ngor Tung, Phillip Shui Chei Tung, M.A. Ola Yusuf, Tung Lawrence Blake, Aali Aare Hadji Tokunbo, Paul Shui Po Tung, Tung Robert, C.L. Ip and Taiwo Alli.

UBA seeks jail for nine WEMPCO directors

UBA’s counsel argued that the directors and some WEMPCO staff had taken steps to undermine the court’s order, making it necessary to serve them with the contempt notice.

The court’s decision permits the bank to serve the notice through an alternative method in line with the court’s directions. The proceedings will determine whether the alleged contemnors disobeyed the order and whether committal to prison is warranted.

The Federal High Court had earlier granted a Mareva injunction and appointed a receiver/manager over some WEMPCO assets following the company’s alleged indebtedness to UBA of N61.45 billion.