Former Minister of Women Affairs, Hajia Zainab Maina’s children and Bakrad International Limited have been ordered by a Federal High Court sitting in Abuja to pay National Economic Reconstruction Fund, (NERFUND) the sum of N61,057,123,060 being the outstanding principal loan and the accrued 13.50% interest of loan granted them to finance a business concern.
The plaintiff in the suit No:/FHC/ABJ/CS/742/2015, filed by NERFUND against Bakrad International Limited and the children of the immediate past Minister of women Affairs named Mr Umar Babangida Maina and Rabinatu Maina as the first and second defendant respectively sought to recover from the defendants a loan amounting to the sum of N61,057,123,060 being the outstanding principal loan and the accrued 13.505 interest granted them to finance and carry out their table water and juice production business sometimes ago.
According to NERFUND, ‘’the customer did not make any payment and it appears the former minister used her influence while in the office to obtain the loan for a company she and her children have interest. She frustrated the perfection of the assets and nothing was paid on the account till date. This is one of the facilities that grounded the operations of NERFUND, make it insolvent and led to the job loss for over 30 staff of the agency in December, 2016.”
Considering the argument of parties in the suit which lasted several months, Justice A.R Muhammed while delivering judgement directed the defendant to pay NERFUND N61.057million as agreed upon by both parties during the transactions.
The defendants failed to put forward any defence to the plaintiff’s action hence Justice Mohammed said the plaintiff is entitled to judgement of the court. He, therefore, held that a judgement is entered in favour of the plaintiff against the defendants in the suit.
‘’Since I have earlier held that the defendants have not given any defence to the plaintiffs claim on the merit, the plaintiff is entitled to judgement of the court. I therefore make the following orders: judgement is hereby entered in favour of the plaintiff against the defendants in this suit.
”The defendant are hereby directed jointly and severally to pay the plaintiff the sum of N61,057.123.06, being the outstanding principal loan and the accrued 13.50% interest agreed on the principal loan as at 8th June, 2015,’’ reads the judgement in parts.
Earlier, in the plaintiffs writ of summons deposed to by staff of NERFUND, Sanusi A. Ramalan averred that the defendants have refused to sign in and/or return three grossed tripartite deed of legal mortgage alongside three copies of irrevocable power of Attorney given by Mallam Umar Joji Maina in favour of NERFUND which was earlier forwarded to them for execution.
According to NERFUND, the property was used as collateral to secure the loan vide a letter dated 9th January, 2013 and was acknowledge by Umar Maina on 10th January, 2013.
The court held that the first defendant, Bakrad International limited is an Incorporated Limited Liability Company under the Companies and Allied Matters Acts, and as a project holder/promoter, the second and third defendants are in charge of the first defendant in dealing with THE plaintiff.
The court also held that the defendants approached NERFUND with a written request for working capital loans on 22nd December, 2011, and the second and third defendants are directors of the first defendant, and applied for the said loan and also personally entered into guarantees on the 2nd April, 2012 for the repayment.