Unending controversy over Lagos company
No, you don’t own AKS Steel, Obinwa tells Mohammed
… Says petitioner is neither chairman nor director
By OBIDIKE JERRY
Wednesday February 22, 2012
•Ezenduka
The controversy over the ownership of AKS Steel, a Lagos manufacturing outfit, is far from over.
Chief Anthony Obinwa, a director with a Lagos-based manufacturing outfit, AKS Steel Nigeria Limited, has reacted to a recent story in Daily Sun in which Alhaji Olopade Olagunju Mohammed, who claimed to be chairman of the company, accused Obinwa of scheming to take over the company through the instrumentality of the judiciary. He said Alhaji Mohammed is neither the owner nor a director in the company.
The initial story was published on Friday, February 3, 2012
Chief Obinna who spoke through his lawyer, Barrister A.C.E. Ezenduka, said he deemed it necessary to join issues with Alhaji Mohammed just to set the records straight, even though the matter is pending in court.
His words: “The AKS Steel Nigeria Limited is a joint venture company between Shinning Star Nigeria Limited and AKS Alloys (PVT) Ltd, India. Alhaji Olapade Olagunju Mohammed does not hold any paid up share capital or any investment in the joint venture company but rather was brought in as a nominee director of AKS Steel Nigeria Limited by Shinning Star Nigeria Limited with which Alloys (PVT) Ltd. has a joint venture to produce steel.
“AKS Alloys (PVT) Ltd was to bring in two production lines of steel mills as their capital contribution to the joint venture company. Rather than do this, they took out a bill for collection (180 days) credit from an India bank to import one production line instead of two as agreed. The credit was repaid by AKS Steel Nigeria Limited, leaving behind no investment by AKS Alloy (PVT) Ltd. which has continued unabated in collaboration with Olapade Mohammed and Martin Iwuegbu to plunder the company criminally and illegally.”
Barrister Ezenduka said it sounds very strange for Alhaji Mohammed to claim ownership of a company which he has done everything possible to liquidate as can be testified to by a pending case of money laundering, stealing, forgery, and conspiracy to commit felony brought against him by EFCC in respect of the operations of the company.
The lawyer, who brandished several documents to buttress his claims, continued: “Olapade Mohammed connived with the two Indian directors to collect and launder the sum of N1.2 billion naira belonging to AKS Steel Nig. Ltd. He personally collected the sum of N20 million from the company (which he claims to have taken as a loan from AKS Steel Nigeria as if the company is now his banker). He along with another director, collected over N640 million naira all belonging to the Nigerian company where he does not hold a single share in the paid up share capital of the company he purportedly claimed to be its owner.
“It is also on record that the Central Bank of Nigeria sanctioned him as the chairman of WEMA Bank Plc. for not declaring his directorship of AKS Steel Nigeria Ltd. (Olapade paid a fine of N500, 000) The above facts are subject of an indictment by the Economic and Financial Crime Commission in charge No. FHC/IKJ/CR/10/2011: FEDRAL REPUBLIC OF NIGERIA AND ALHAJI SANNI ALIYU MOHAMMED,
ALHAJI OLAPADE MOHAMMED pending at the Federal High Court, Ikeja Division.”
Ezenduka said both Alhaji Mohammed and Barrister Martin Iwuegbu were being economical with the truth when they claimed that Chief Obinna was an outsider and an agent of another director of the company when in actual sense it was Chief Obinna who brought the two of them into the company.
“My client, Chief Anthony Obinwa single handedly recommended and brought in these two persons (Olapade Mohammed and Sanni Mohammed) as directors and Martin Iwuegbu (who used to be his personal lawyer) as company secretary of AKS Steel Nigeria Ltd. The company from inception began its operations from his office in Surulere, Lagos.”
He explained that Chief Obinna, his client, resorted to the judiciary when every attempt made to get Alhaji Mohammed to convene a board meeting to address these vexatious issues failed.
“For some time before the filling of the petition, our client had both verbally and in writing, urged Olapade Mohammed and Martin Iwuegbu to summon the meeting of share holders and or board of directors which they have refused to do and till date no annual general meeting of AKS Steel Nig. Ltd has been convened or held; rather they have conspired with each other to forge board resolutions, criminally diluted the share holding structure of the company, unilaterally removed the directors, collected loans from banks for sharing among themselves and laundered over 80% through a bureau de change to Dubai en route to India. These are subjects of criminal investigation and indictment by EFCC which can be verified from the court.”
The eminent lawyer further contended that it was wrong for Alhaji Mohammed to insinuate underhand dealings in the court process that resulted in the injunction since the matter was duly enrolled and argued in court.
