Tensions escalated on Tuesday as staff of Nestoil Limited reportedly forced their way into the company’s Victoria Island headquarters, defying a Court of Appeal order that protects the court-appointed Receiver/Manager in an ongoing debt dispute.

The development stems from a high-stakes case in which Nestoil, Neconde Energy Limited, and their promoters, including billionaire Ernest Azudialu-Obiejesi, are alleged to owe over $1.01 billion and ₦430 billion under various credit facilities as of September 30, 2025.

Sources told SaharaReporters that the staff relied on a new Federal High Court order by Justice Peter Odo Lifu, which purportedly restrained the Receiver from performing their duties—directly contradicting the earlier Court of Appeal injunction issued on November 27, 2025. Legal experts described the clash of orders as unprecedented, unlawful, and scandalous, noting that a High Court cannot override a superior court’s directive.

The Court of Appeal order, issued in Suit No. FHC/L/CS/2127/2025, granted FBNQuest Merchant Bank Limited and First Trustees Limited reliefs including:

• Reversing all steps taken by respondents against the Receiver;
• Restraining Nestoil staff and affiliates from interfering with the Receiver’s duties;
• Staying further proceedings at the lower court pending the hearing of the appellants’ motion.

Background of Asset Freezes

Earlier in November, Justice J. Osiagor of the Federal High Court, Lagos, had vacated a Mareva injunction that had frozen the assets of Nestoil, Neconde, and the Obiejesis, which had been issued by Justice Deinde Dipeolu in October 2025. That order had blocked access to bank accounts and corporate assets across over 20 institutions, including Citibank Nigeria, GTBank, Stanbic IBTC, Polaris Bank, and Providus Bank, among others.

Justice Dipeolu also appointed Abubakar Sulu-Gambari (SAN) as Receiver/Manager to oversee Nestoil’s assets, with enforcement support from the Nigerian Police Force, Nigerian Navy, and State Security Service.

Allegations of Judicial Interference

The crisis has raised concerns over alleged interference by Chief Judge of the Federal High Court, Justice John Tsoho, with insiders claiming he attempted to influence the reassignment of the high-profile case after Justice Dipeolu refused to rule in favor of Nestoil and its affiliates. Sources allege that this led to controversial orders, including the High Court injunction relied upon by Nestoil staff to storm its Lagos offices.

In a petition dated October 31, 2025, Azudialu-Obiejesi accused Justice Dipeolu of bias and alleged misconduct in several suits involving his companies, claiming he could no longer obtain fair hearing in Dipeolu’s court. The petition and subsequent administrative actions have been described by judiciary insiders as an attempt to reassign the case to judges loyal to the Chief Judge, bypassing the Court of Appeal’s authority.

The dispute remains ongoing, with enforcement of the Court of Appeal’s protective orders for the Receiver and the broader debt enforcement case expected to dominate legal proceedings in the coming weeks.