Court orders 9mobile to pay Keystone bank over N55bn

Justice Yellin Bogoro of the Federal High Court in Lagos has mandated Teleology Nigeria Limited, the entity behind 9Mobile Network, to settle a debt of N55,776,507,599 owed to Keystone Bank Limited.

The case was brought before the court by Keystone Bank’s attorney, Bode Olanipekun, SAN, who alleged that Teleology Nigeria Limited had defaulted on a loan taken to support the acquisition of key assets from Emerging Markets Telecommunication Services Ltd., known as 9Mobile Network.

Olanipekun noted that despite Keystone Bank’s offer to restructure the loan, Teleology failed to comply with necessary conditions, including those outlined in the restructuring agreement.

Olanipekun highlighted that instead of addressing the debt, Teleology proposed an alternative arrangement through PAC Limited, which suggested converting the debt into equity without an immediate repayment.

Teleology’s counsel, Michael Kaase Aondoakaa, SAN, contested the court’s jurisdiction over such banker-customer disputes, arguing against a favorable judgment for Keystone Bank.

In response, Olanipekun requested that Aondoakaa’s arguments be dismissed, asserting there was no pending appeal or request to halt the court’s decision.

Ruling on the issue on Friday, Justice Bogoro deemed the defendant’s application as an attempt to obstruct judgment and confirmed that it did not align with the current proceedings.

Concluding that Teleology had no valid defense, the court ruled in favour of Keystone Bank, ordering Teleology to repay the full amount of N55,776,507,599 as the outstanding debt.