The Lagos State High Court has granted interim preservative orders in favour of United Bank for Africa (UBA) Plc in a $242 million dispute over alleged diversion of petroleum products involving Swiss energy trader Vitol SA and four shipping companies.
Justice K. A. Jose granted three prayers seeking to prevent the dissipation of assets and dealings in funds up to the disputed amount, with the orders applying against Vitol SA only.
UBA alleges that it financed the transaction through a letter of credit and held endorsed bills of lading entitling it to take possession of the cargoes. However, the bank claims the gasoil was not delivered after the vessels completed their voyages and that the products were diverted to another party.
The bank intends to pursue claims including conversion, misrepresentation and negligence. The allegations remain subject to determination in the substantive proceedings.
What could this dispute mean for trade finance, shipping accountability and confidence in Nigeria’s petroleum trade? Read more on arise.tv
