Port Harcourt — The Federal High Court sitting in Port Harcourt has affirmed Elano Investments Limited’s authority to manage the 7.5 percent equity shares of the host communities of Indorama Eleme Petrochemicals Limited, IEPL.
Elano Investment Limited is the firm that manages the 7.5 percent equity dividends accruable to the host communities from their investment in IEPL, namely, Agbonchia, Aleto, Akpajo, Akpakpan, Njuru, Okerewa and Wakohu community all in Eleme and Obio/Akpor Local Government Areas of Rivers State.
Some members of Wakohu community had in 2017 dragged the management of Elano to court, demanding for an interlocutory injunction to restrain Elano from managing its share of the 7.5percent equity for the community. The community had alleged that the demand was based on a divide and rule tactics of the firm, as the community rights were received by only selected few.
But in his judgement, Justice H. Oshomah established that the host communities entered a valid contract with Elano to source for N2.925 billion to acquire the 375,000 equities offered by the Federal Government through the Bureau of Public Enterprises, BPE, in 2009.
Justice Oshomah upheld the validity of the contract the parties entered into where authority was vested in Elano Investments Limited to also manage the dividends accruing from the 7.5percent shares.
The Court ruled that based on documents placed before it on the terms of the contract, parties cannot just walk away on account of frivolities.
On the argument of the nonexistence of the contract by the parties, the Court ruled that with the withdrawal letter by some of the defendants, it was clear that they were part of a contract before seeking to withdraw.
Subsequently, all prayers and reliefs were resolved in favour of Elano Investments Limited. All questions for determination were also resolved in the company’s favour as the Court struck out all counter affidavit and other processes filed by the defendants.
Counsel to Elano Bar. J. Ezekwu said the judgement, however lays to rest the arguments on legitimacy of Elano Investments Limited’s contract with the host communities and its subsequent authority to manage the 7.5percent shares for the people.