*Says verdict raises a red flag for investors, tarnishes the country’s reputation
A Nigerian company, Owigs and Obigs Nigerian Limited has pleaded with the Supreme Court to review its judgment exonerating Zenith Bank Plc in an international contract in which the bank reneged on its obligations in confirming a Letter of Credit issued by the bank.
Specifically, the company drew the attention of the Court to its judgment in appeal no SC/CV/709/2020, in which it claimed the apex court misdirected itself while interpreting the terms of the contract and the obligations of the bank in the said contract.
According to the company, the Judgment of the court showed “glaringly example of how the Nigerian laws have been brazenly disregarded and urinated upon, resulting in a judgment that defies logic and justice, failing to consider the truth”.
According to the company in an Open Letter addressed to the Chairman of the Senate Committee on Judiciary, dated 21st January, 2025, and signed by Emeka D. Okorie, the judgment “failed to consider the truth, contradicts established facts and evidence, disregarded and distorted ethical and legal principles, distorts reality and lacks connection to actual circumstances and context”.
They urged the Senate to move it’s committee on Judiciary to swiftly ask the apex court to “take immediate action to address the issue”.
The company stated that it is scandalized and shocked as to how a bank that acknowledged during cross examination that it breached the international commercial contract in issue, could be absolved of liability for what it accepted it breached by the apex court.
“They wrongly absolved the defaulting bank of liability and dismissed existence of the original contract, despite evidence and admission to the contrary.
“The erroneous judgment was imposed on the parties in favour of the Respondent bank.
“A judgment not based on law and facts is essentially fraudulent, and therefore, cannot be considered a legitimate judgment because the Supreme Court cannot turn itself into the Kingdom Supreme Headquarters of injustice in this particular matter,” the company stated.
It stated that the judgment was so perverse and incredible that it confronted the Supreme Court with the details of the travesty of the justice via a letter of appeal to the Chief Justice of the Federation dated 10th December, 2025, demanding a reversal of the judgment, yet to be acceeded to.
“The distress letter and the reminders which are attached here with by Owigs and Obigs Nig Ltd exposes the flaws in the judgment, highlighting the need for the Supreme Court to redefine what constitutes a final judgment,” it stated in the petition to the Senate.
They claimed that in the judgment, the supreme Court reversed the role of parties in a contract contrary to uniform customs and practice regulating international commercial contract financed by letter of credit.
It further stated that the supreme Court twisted autonomous contract dispute between confirming bank and seller, misrepresenting confirming bank’s breach as buyer- seller dispute, thereby undermining contract autonomy between their company and the bank, making Nigeria a laughing stock at the international business community.
“By legalizing illegality, the judgment sends a wrong signal that the nation and it’s banks are unsafe for business.
“This raises a red flag for investors, tarnishes the country’s reputation and sabotages the government’s efforts to rebuild the economy,” the company stated.
The problem, according to, Owing and Obigs Nig Ltd, arose from a contract marked: JYOONL-OO1/ KTTA 140415, comprising four interdependent and interrelated autonomous contracts.
Sadly, it noted, the confirming bank (Zenith bank Plc) was alleged to have maliciously breached the critical fundamental credit term without any reason whatsoever, thereby, activating the contract’s default clause, triggering off specific damages without remedy amounting to millions of dollars.
The appellant company argued that the judgment of the apex court curiously created a fake irrevocable documentary letter of credit with SWIFT MT 700, without a confirming bank, contradicting the original document and making a mockery of international trade standard and practices.
“This false irrevocable documentary letter of credit with SWIFT MT 700 is issued for contract agents and facilitators instead of the buyer-seller contract,” the NGOs states.
They claimed that “in the judgment, the Supreme Court re-wrote the contract for the parties in favour of the breaching party by subsisting a non-party with the actual party, and removed the liabilities of the legitimate party to a non-party contrary to the evidence on record and protocol upheld by Uniform Trade Customs and Practice which ruled and governed the contract.- A treaty to which Nigeria is a signatory.
The seller’s bank (Zenith bank PLC) was declared the issuing bank instead of confirming bank, contrary to the evidence on record and serial admissions by the bank, in order to absolve the confirming bank as the breaching party from it’s default liabilities, they stated.
“Following discussions with the bank, the appellant engaged the services of an international agent, Eglone Group Asia Pte Limited based in Singapore, to help it broker/secure foreign buyers for tin Ore, tantalite ore and columbite ore.
“Eglone Group Asia Pte Limited eventually succeeded in getting two buyers for the appellant (Owigs and Obigs Nig. Ltd) in March and April 2014.
“The first contract that was secured is contract No. Jy-OONL-001, dated March 5, 2014, which was executed between the appellant and Guangdong Jiayuan Metals Co. Ltd of China for the supply of Tin ore; while the second contract with contract No. KTTA 140145, dated April 15, 2014, was executed between the appellant and King-Tan Tantalum Industry Ltd of China for the supply of Columbite ore and tantalite ore.
“However, due to the failure of the appellant (Owigs and Obigs Nig.Ltd) to execute the contract on time, the contracts were cancelled, and penalty fees were deducted by Zenith bank from the appellant’s account”.
According to the appellant, “the cancellation of the contracts was because Zenith bank failed/neglected to confirm letters of credit issued by the buyer’s bank, the Industrial and Commerce Bank of China (ICBC)”.
