The receiver-manager appointed by FBNQuest Merchant Bank Limited and First Trustees Limited has taken possession of Nestoil Limited’s Lagos headquarters following a fresh order of the Court of Appeal reinstating earlier asset-freezing directives tied to an alleged multibillion-dollar debt default.

Armed police officers were stationed at the entrance of the firm’s multi-storey office complex at 41/42 Akin Adesola Street, Victoria Island, on Monday morning as the premises were sealed and marked as repossessed.

The enforcement action came after Justice Yargata B. Nimpar of the Court of Appeal, Lagos Division, issued a restorative injunction on Friday, reversing a ruling of the Federal High Court that had vacated previous ex parte seizure orders.

FBNQuest Merchant Bank and First Trustees Limited are the appellants in the matter, while Nestoil Limited, Neconde Energy Limited and their promoters, Ernest Azudialu-Obiejesi and Nnenna Obiejesi, are the respondents.

The Court of Appeal also granted an interim injunction restraining the respondents and their agents from obstructing the receiver-manager in the performance of his duties pending the hearing of a motion filed on 26 November 2025. It further stayed proceedings at the Federal High Court and fixed 4 December for the substantive hearing.

Justice J. Osiagor of the Federal High Court had earlier vacated a Mareva injunction on 20 November, lifting the freeze on assets belonging to Nestoil, Neconde and the Obiejesis. His ruling nullified Justice Deinde Dipeolu’s 22 October orders that had frozen the respondents’ accounts and shareholdings across more than 20 financial institutions including Citibank, Fidelity Bank, GTBank, Stanbic IBTC, Opay, Wema Bank, Polaris, Titan Trust Bank, Unity Bank and others.

According to the appellants, Nestoil and its affiliates owe over $1.01 billion and N430 billion as of 30 September 2025 under multiple credit facilities.

Justice Dipeolu’s initial directives had empowered the receiver-manager, Abubakar Sulu-Gambari, to take over Nestoil’s headquarters, other assets, and Neconde’s interests in OML 42, the joint venture oil block operated with NNPC Limited. The Nigerian Upstream Petroleum Regulatory Commission and NNPC Limited were also directed to grant the receiver access to production operations and revenue flows.

In their 22 November appeal, the appellants asked the appellate court to suspend the impact of Justice Osiagor’s ruling to prevent their appeal from being rendered “nugatory.”