Trouble Not Over For Obateru Akinruntan In N1.4billion Debt To Bank

Details coming to the fore reveal, trouble is certainly not over for Ugbo Monarch Obateru Akinruntan in the case of his Obat Petroleum indebtedness to Skye Bank.

Obat is indebted to Skye Bank to the tune of N1.4billion based on the ruling of an arbitration panel headed by respected legal mind Afe Babalola.

The ruling had mandated Obat to pay N1.4billion with 10% to the bank in a debt dispute case.

The debtor firm had made a complaint to the arbitrator after the judgment demanding a review.

Information available has it that arbitrator had ordered Obat to pay N100m of its debt to show faith in the process before the complaint was entertained.

The petroleum product services delivery firm obliged by paying an initial N50million.

The holding up of the debt recovery process by not paying the balance for the arbitrator to look into the raised complaint forced Skye Bank to file the arbitrator panels judgment in a federal and secured favorable ruling.

“It was the ruling that enabled the bank to go after Obat’s tank farm and other assets as part of efforts to take care of the debt” a source disclosed.

Sources disclosed faced with the reality of an impossible situation, the management of the debtor firm owned by the Ugbo monarch had entered into negotiation with Skye bank to protect its business.

Societynow.ng gathered that an arrangement for how the mega debt would be liquidated was reached in exchange for the bank to hands off the company’s assets.

And the immediate execution of the agreement was initiated with Obat fulfilling initial demand by Skye bank – including payment of a certain amount.

Obat while the negotiation was on had instituted a court action against the move by Skye Bank.

The outcome of that particular legal move is the recent celebration of victory by the debtor against the creditor.

But an informed source explain what was celebrated was the court ruling that the arbitration panel should look into Obat’s complaint and Skye Bank stay action on the N1.4billion.

This development comes after Obat petroleum has paid over N200m to Skye Bank.

“Interestingly Obat only decided to balance N50m after it’s initial payment to achieve the same feat before Skye Bank filed the arbitrator’s judgment in court” a source pointed out.

Meanwhile, Insiders disclosed the bank has appealed the decision of the celebrated victory insisting there can’t be a review with the way things have turned out.

“What this means is that certainly, the trouble over the N1.4billion debt is certainly not over for the Ugbo monarch and his Obat Petroleum” a source interprets.

Obat Petroleum is the claim to fame and cash cow of wealthy Monarch Obateru Akinruntan with his children serving as main administrators of the business entity.