Court Halts House of Reps Probe Into Sterling Bank’s $17M Loan

The Federal High Court in Lagos has issued an interim order restraining the House of Representatives and the Chairman of the House Committee on Public Petitions, Michael Etaba, from further investigating Sterling Bank Limited and the Group Chief Executive Officer of Sterling Financial Holdings Company, Yemi Odubiyi, over a $17,079,000 loan dispute.

Justice Daniel Osiagor granted the injunction on Monday, pending the hearing and determination of a Motion on Notice for an interlocutory injunction.

The suit, marked FHC/L/L/CS/185/2025, was filed by Sterling Bank Limited, Sterling Financial Holdings Company Plc, Yemi Odubiyi, Abubakar Suleiman, Lekan Olakunle, and Dele Faseemo.

According to court documents obtained on Tuesday, the judge specifically restrained the House of Representatives and Etaba, whether personally or through their agents, from further inviting or investigating the plaintiffs until the Motion on Notice is determined.

The case stems from a Vessel Lease Facility valued at $17,079,000, which Sterling Bank extended in 2009 to Dr. Innocent Brendan Usoro and Miden Systems Limited.

The loan had a 48-month repayment period, including a six-month moratorium. However, the plaintiffs claim that Usoro and Miden Systems defaulted, leading to a legal dispute.

Despite the matter already being in court, the defendants allegedly petitioned the National Assembly, accusing Sterling Bank of unlawful deductions and money laundering.

The House of Representatives Committee on Public Petitions subsequently invited Sterling Bank and its executives to appear before it on February 5, 2025.

In response, the plaintiffs approached the court, arguing that the House of Representatives’ probe amounted to interference in an ongoing judicial process.

The case has now been adjourned until February 21, 2025, when the court will hear the Motion on Notice.

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