The legal battle surrounding the Ibadan Electricity Distribution Company (IBEDC) has intensified, with the Federal High Court in Lagos issuing an order restraining the Asset Management Corporation of Nigeria (AMCON), Polaris Bank, and Archlight Nigeria Limited from taking any actions that could prejudice the outcome of a lawsuit filed by the United Bank for Africa (UBA). This order, issued by Justice Dehinde Dipeolu, effectively freezes the ongoing dispute and mandates all parties to maintain the status quo until the matter is heard on October 2, 2025. The court’s intervention aims to preserve the integrity of the legal process and prevent any actions that might render pending applications ineffective. This development underscores the complexity of the case and the significant financial interests at stake.
At the heart of the conflict lies UBA’s allegation that AMCON, Polaris Bank, and Archlight are attempting to divest Integrated Energy Distribution and Marketing Limited’s 60% stake in IBEDC, despite a subsisting court order prohibiting such action. UBA, in its earlier application for interlocutory orders, sought to prevent the sale or divestment of the shares and requested a Mareva injunction to freeze any transactions involving IBEDC’s controlling shares. This preemptive legal maneuver by UBA aimed to safeguard its interests and prevent any irreversible actions that could impact the ownership structure of IBEDC pending the resolution of the underlying dispute.
The court’s decision to restrain all parties represents a significant victory for UBA, effectively halting any further moves by AMCON, Polaris Bank, and Archlight regarding the IBEDC shares. It provides a period of legal standstill, allowing the court to fully consider the arguments and evidence presented by both sides. The adjournment to October 2025 provides a timeline for the legal proceedings and sets the stage for a comprehensive hearing of the motion. This interim period is crucial for both parties to prepare their cases and present their arguments before the court.
However, the situation escalated further when UBA initiated contempt proceedings against AMCON, its top executives, and directors of Archlight Nigeria Limited for alleged violation of the earlier restraining order. UBA accuses the respondents of continuing to act in defiance of the court’s directive, which prompted the bank to pursue legal action for contempt. This action signifies UBA’s firm stance against any perceived disregard for the court’s authority and demonstrates its commitment to protecting its interests in the IBEDC ownership dispute.
The contempt proceedings, filed under Form 48 of the Federal High Court Rules, seek the committal to prison of AMCON’s Managing Director/Chief Executive Officer, Mr. Gbenga Alade, along with three executive directors, and several directors of Archlight. This legal maneuver underscores the seriousness of the alleged breach and the potential consequences for the individuals involved. The notices of consequence of disobedience (Form 48) have been served on the implicated parties at their Lagos and Abuja offices, emphasizing the legal ramifications they face. This decisive action by UBA further complicates the legal battle and raises the stakes for all parties involved.
The underlying dispute revolves around the control and ownership of IBEDC, a strategically important asset in Nigeria’s power sector. The involvement of major financial institutions like UBA, Polaris Bank, and AMCON, as well as the privately held Archlight Nigeria Limited, highlights the significant financial interests at stake. The court’s intervention serves as a critical juncture in the ongoing legal battle, with the potential to significantly impact the future ownership structure and operation of IBEDC. The October hearing will be pivotal in determining the course of the dispute and the ultimate fate of the contested shares.
