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NDIC Sues Wema Bank Over N125bn Banana Island Property Linked To Defunct Lender In Lagos

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NDIC Sues Wema Bank Over N125bn Banana Island Property Linked To Defunct Lender In Lagos

The Nigeria Deposit Insurance Corporation (NDIC) has instituted two separate actions at the federal high court in Lagos against Wema Bank over some assets in Banana Island and N401 million disputed payments.

The NDIC, acting as liquidator of the defunct Gulf Bank Plc, filed both suits against Wema Bank under the Failed Banks (Recovery of Debts and Financial Malpractices in Banks) Act

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The move was part of efforts to recover and liquidate outstanding assets of the defunct Gulf Bank Plc after 20 years of its collapse.

In January 2006, the Central Bank of Nigeria (CBN) revoked the licence of Gulf Bank Plc due to insolvency and failure to meet capitalisation requirements.

Subsequently, NDIC emerged as liquidator in a bid to recover the outstanding assets, following a court order.

THE FIRST SUIT

At the centre of the first suit instituted by NDIC are six properties in Banana Island purchased in the name of Euston Wenberg Engineering Company Limited, described as a shell company used by Gulf Bank Plc.

These plots, situated in Zones J, K, L and P, have a combined area of approximately 13,794.145 square metres.

At the current market rate of N4,500,000.00 per square metre, NDIC values these properties at N62,073,652,500.00.

NDIC alleges that Gulf Bank acquired six Banana Island plots between 1998 and 2003 using Euston Wenberg Engineering Company Limited as a vehicle.

NDIC argued that the assets remain beneficially owned by Gulf Bank plc despite the internal records of the defunct bank reportedly treating the acquisition as a loan account.

NDIC alleged that Wema Bank took custody of these properties purportedly to secure an interbank deposit of N771.79 million.

The agency said a joint CBN/NDIC special examination conducted in September 2005 found no record in Gulf Bank’s books confirming that any such deposit existed.

The agency said the report found the defunct bank’s explanations unsatisfactory with no supporting documentation produced.

NDIC said Wema Bank later presented two managers’ cheques from Access Bank and Intercontinental Bank, both dated September 2005, totalling N250 million in favour of Euston Wenberg Engineering Limited.

The agency said the cheques are instruments for a purchase rather than recovery of a deposit.

NDIC argued that the purported sale at N250 million was commercially implausible, given that a single property in Banana Island at the time was worth in excess of N500 million.

THE SECOND SUIT

The second suit was premised on a separate set of six properties in Banana Island acquired through Bacad Finance and Investment Limited (later renamed Supra Commercials Limited) — another entity in which the defunct bank held over 80 percent shareholding

NDIC alleged that Gulf Bank injected N20 million into Bacad Finance and Investment Limited in 2001 to increase its share capital, and later invested N60 million in the company in 2003.

The defunct bank held over 80 percent of Bacad Finance’s shares and used the entity to acquire the second set of six Banana Island plots.

The defunct bank was said to have planned to develop the properties as a luxury residential estate of 72 flats, to be called Bacad Estate, in partnership with Shelter Afrique.

NDIC accused Wema Bank of claiming to have sold the assets for N524 million by way of managers’ cheques dated 2006 and 2007, without any valid mortgage, court order, or proprietary interest.

NDIC rejected the claimed sale price as grossly implausible given that each property was worth over N4 billion at the time.

In addition, NDIC said in June 2009, it wrote to Wema Bank approving payment of N1,635,616 as the full outstanding deposit due to the bank as of January 16, 2006 — the date Gulf Bank went into liquidation.

NDIC alleged that despite the approval, Wema Bank collected N401 million from UBA, NDIC’s agent bank, without lawful justification, and that the agency has no record showing Wema Bank was owed any sum beyond the approved N1.6 million.

NDIC is seeking court declarations that any purported sale of the properties was illegal, null, and void and that Wema Bank had no valid interest in any of the properties.

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NDIC Sues Wema Bank

The agency is also seeking a court order to compel Wema Bank to return the land title documents or pay the current value of the disputed properties.

THE OBJECTIONS

Wema Bank, through its counsel, Oladapo Olanipekun, Kehinde Ogunwunmiju, Tunde Afe-Babalola, have filed a preliminary objection challenging the jurisdiction of the court.

The bank argued that NDIC’s claims do not arise from any loan, credit facility, guarantee or banking transaction between the parties as required under the Failed Banks Act.

The lender added that it was never a customer of the defunct Gulf Bank Plc in respect of any credit facility.

The bank further argued that the suits disclose no debtor-creditor relationship and that NDIC lacks locus standi because the disputed properties were allegedly owned by Bacad Finance and Investment Limited (now Supra Commercials Limited), a separate legal entity.

The bank said the issue is property ownership rather than banking debt recovery, adding it is outside the federal high court’s jurisdiction.

The bank argued that any course of action, if it existed at all, arose between 2006 and 2007 and is now statute-barred under the Limitation Law of Lagos state.

Wema Bank accused NDIC of abusing court process by attempting to circumvent limitation laws with a stale claim.

Wema Bank asked the court to strike out both suits.

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Government Bans Traffic Task Force On Highways Over Extortion, Harassment In Enugu

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Government Bans Traffic Task Force On Highways Over Extortion, Harassment In Enugu

The Enugu State Ministry of Transport has banned all traffic task force operations on federal highways within the state, effective immediately.
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The directive was announced in a statement on Monday by the commander of the Enugu State Traffic Management Authority (ESTMA), Kenneth Ugwu.

Mr Ugwu said that the ban was part of the government’s efforts to curb the activities of fake enforcement officials who extort funds from motorists.

According to him, the ministry took the decision after reports that impostors posing as transport ministry officials had been operating on federal highways, harassing and extorting motorists.

“Their action tarnishes the image of the ministry, and to address the situation, the ministry has constituted a special team to identify and apprehend those behind the illegal operations,” Mr Ugwu said.

Mr Ugwu confirmed that authorities recently arrested some suspected fake task force operatives while allegedly extorting motorists in different parts of the state capital.

He added that the suspects were currently undergoing interrogation and will be prosecuted in accordance with the law.

Governor Mbah Moves Girl Rescued From Ritualist

Governor Mbah

The ministry, therefore, urged the public and motorists to promptly report any genuine complaint or encounter with suspected fake task force officials to the ESTMA commander’s office at 08102382688 for immediate intervention.

He warned that anyone found harassing or extorting motorists under the guise of traffic enforcement would be arrested and prosecuted.
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How Four Universities, Students Win N235m Engineering Innovation Funding

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Engineering Innovation Funding

How Four Universities, Students Win N235m Engineering Innovation Funding

Student teams from the Modibbo Adama University of Technology, Yola; the University of Ibadan; the University of Jos; and the University of Nigeria, Nsukka have emerged winners of the maiden Nigerian Engineering Olympiad for developing outstanding engineering innovations.
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At the grand finale held recently in Lagos, the teams won a total of N110m in seed funding to accelerate the commercialisation of their innovations.

MAUT emerged overall winner, receiving a N50m grant, while UI received N30m for placing second.

The University of Jos received N20m for its third-place position, while UNN received N10m for finishing fourth.

MAUT emerged overall winner with “Ubuntu Sapphire”, a decentralised, community-powered rapid alert and security intelligence network built for the security realities of rural and peri-urban Nigeria, where connectivity is poor, security architecture is thin, and millions of households still depend on feature phones.

The University of Ibadan claimed second place with its “Aurora Birth” innovation, a HealthTech solution designed to reduce neonatal deaths from birth asphyxia, especially in low-resource settings.

The University of Jos secured third place with “Sentra,” a solar-powered, AI-enabled crop diagnostic device that detects pests, diseases and soil nutrient deficiencies before visible symptoms appear, giving smallholder farmers the early warning they need to act promptly.

The University of Nigeria, Nsukka finished fourth with “Flameless”, a containerised, modular power-generation platform that captures associated gas and converts it into electricity, providing reliable and affordable power for households, communities and businesses.

The winning projects distinguished themselves by offering practical, scalable and commercially viable solutions to critical national challenges in security, healthcare, agriculture and energy.

The winners emerged from a national contest that attracted 375 successful team applicants from 984 student participants across 80 tertiary institutions.

Thirty teams qualified for the regional stage of the competition, which commenced in November 2025, with projects assessed on technical excellence, innovation, scalability, commercial viability, societal impact and sustainability.

Aside from the cash prizes, the winning teams will also receive continued technical mentorship, business development support, industry partnerships and commercialisation opportunities.

Also, the engineering faculties of the winning universities were rewarded.

MAUT won a Centre of Excellence building, while UI and UNN received grants of N75m and N50m respectively to strengthen engineering education and research.

Speaking, Margaret Oguntola, immediate past President of the Nigerian Society of Engineers, described the initiative as a step towards repositioning young engineers as drivers of sustainable national development.

She said the NSE was concerned about how to bridge the gap between abundant talent in tertiary institutions and Nigeria’s technological advancement and industrialisation aspirations, which the NEO is designed to address.

He observed that sectors such as music and reality television have flourished partly because of healthy competition and public recognition, adding that the Olympiad seeks to create similar competitiveness within engineering education while celebrating the ingenuity of students and their lecturers.

In his welcome remarks, Mr Michael Ajayi, Country Director of Enactus Nigeria, NEO implementing partner, said investing in youth-driven innovation is essential to Nigeria’s future, noting that the competition aligns with the organisation’s mission of promoting youth leadership and enterprise development.

According to him, it is expedient that the country intentionally harnesses its creativity, technical expertise and entrepreneurial capacity to solve real-world problems, build sustainable businesses and create jobs.

In his remarks, the Executive Secretary of the Nigerian Content Development and Monitoring Board, NEO initiator, Felix Ogbe, said the organisation would continue to support the initiative in identifying and developing undergraduate and postgraduate engineering talent.

Ogbe, who was represented by Mr Silas Ajimijaye, Director of Planning, Research and Statistics, commended the programme’s partners and challenged them to ensure that the winning innovations progress beyond the competition to reach the market and improve lives.

The representative of Renaissance Africa Energy Company Limited, one of the funding partners, Dr Igo Weli, Vice President (Relations and Sustainable Development), expressed satisfaction with the outcomes of the maiden NEO, promising that prototype development grants for participating teams would increase from N3m to N5m in the next edition.

Another funding partner, FIRST Exploration & Petroleum Development Company (FIRST E&P), represented by John Alamu, General Manager, Engineering & Capital Projects, described the Olympiad as an important platform for strengthening STEM education and reducing the growing challenge of brain drain.

“We must build mechanisms that not only recognise excellence in problem-solving and technical capacity but also encourage solutions tailored to Nigeria’s energy, infrastructure, manufacturing and sustainability needs,” he said.

The Special Guest of Honour, Executive Vice Chairman/Chief Executive Officer of the National Agency for Science and Engineering Infrastructure, Mr Khalil Halilu, represented by Emmanuel Ajani, congratulated the young innovators and commended the organisers for the initiative, describing it as a veritable platform for identifying exceptional engineering talents within Nigerian universities capable of driving industrial transformation.

The maiden NEO competition showcased innovations spanning healthcare, renewable energy, agriculture, security, infrastructure, manufacturing and industrial technology, highlighting the ingenuity of young Nigerian engineers in addressing pressing national and global challenges.

Engineering Innovation Funding

Engineering Innovation Funding

The Olympiad began with regional competitions across Nigeria’s six geopolitical zones—Yenagoa, Enugu, Ibadan, Abuja, Yola and Kano—where 30 shortlisted teams competed.

Twelve teams advanced to the national stage and participated in an intensive innovation bootcamp in Lagos, from which four finalists emerged.

During the bootcamp, participants received mentorship from engineering professionals, entrepreneurs, business leaders, investors and innovation experts before competing in semi-final knockout rounds that produced the eventual winners.
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Umahi: Lagos-Calabar Coastal Highway Designed To Mitigate, Not Cause Flooding

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Umahi

Umahi: Lagos-Calabar Coastal Highway Designed To Mitigate, Not Cause Flooding

The Honourable Minister of Works, Engr. David Umahi, CON, FNSE, FNATE, has dismissed claims that the Lagos–Calabar Coastal Highway is responsible for flooding in parts of Lagos. He insisted that the project is designed to improve drainage and facilitate the evacuation of floodwaters from shoreline communities.
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Speaking during an on-the-spot assessment of the completed and ongoing sections of the Coastal Highway with Members of the National Assembly, Senior Special Assistants to the President (SSAs-P), Officials of the Federal Ministry of Environment and the media, he explained that the Ministry had earlier held discussions with Officials of the Lagos State Government on the need for dredging and other environmental mitigation measures to address flooding in the affected areas.

The Minister attributed the persistent flooding largely to indiscriminate dumping of refuse, blockage of drainage channels and manholes, and gross violations of environmental regulations by some residents. He stressed that the highway itself is not the cause of flooding but rather part of its long-term solution.

_”You can see people blocking manholes and creating hazards to the environment. Many complaints about flooding are caused by human activities, not the road project,”_ the Minister emphasised.

Engr. Umahi assured stakeholders that the Federal Government, in collaboration with the Lagos State Government, is implementing environmental remediation measures, including dredging, drainage improvement, and strict enforcement of the approved “Right of Way.” He warned that structures obstructing drainage channels or violating the approved setbacks would be removed.

According to the Minister, the Lagos–Calabar Coastal Highway incorporates modern engineering features, including adequate culverts, drainage systems, and embankments designed to manage stormwaters effectively. He further explained that the project complements other flood-control interventions such as those around the Aqua Atlantic development and Oshodi.

Engr. Umahi informed that the visit is coming at the instance of the directive of President Bola Ahmed Tinubu, GCFR, whose administration remains committed to protecting lives, properties, and critical infrastructure, while promoting sustainable development.

The Minister announced that a Stakeholders’ Engagement involving the Senate and House Committees on Works, the Federal Ministry of Environment, Office of the Surveyor General of the Federation, Lagos State Government, representatives of concerned Associations of Landlords and other relevant Government Agencies, is scheduled for today, Tuesday, 7 July, 2026. The engagement aims to address environmental concerns, step up awareness campaigns on environmentally friendly practices and the dangers of the unfriendly ones, as well as deepen collaborative efforts in flood management.

He commended Members of the National Assembly, the Governor of Lagos State, the Minister of Environment, SSAs-P (Community Engagement), Staff of the Ministry, and Hitech Construction Company, and other stakeholders for their cooperation and assured residents that blocked drainage channels and refuse dumps along the project corridor would be cleared.

The SSAP on Community Engagement, South West, Moremi Ojudu, called for collective responsibility in addressing environmental and human factors, emphasising the President’s commitment to environmental sustainability. The Director of Environmental Impact Assessment, Federal Ministry of Environment, highlighted the growing impact of climate change and the unique environmental challenges facing Lagos. On the Environmental Impact Assessment of the Project, she confirmed that approval was given before its commencement.

Commenting, the Minority Whip of the Senate, Sen. Onyekachi Nwaebonyi stated the history of flooding in Lagos is as old as the city itself, and we have seen, as a Parliament, that the reason for the flooding is not the Coastal Highway.” He advised that the opinions of environmental experts be adhered to in finding remedial and preventative solutions to a global problem.

In their separate remarks, the Chairman of the Senate Committee on Works, Senator Allwell Onyesoh, and the Chairman of the House Committee on Works, Hon. Akin Alabi commended the Minister’s swift response to Mr. President’s directive. They observed that flooding existed before the commencement of the Coastal Highway, ascribing it to the effects of global warming, requiring proactive solutions.

To further safeguard the completed sections of the Highway, the Minister directed the Federal Controller of Works, Lagos State, Engr. Olufemi Dare to ensure full compliance with environmental safety standards. He also announced the recruitment of 40 personnel — 20 for day duty and 20 for night — to monitor the highway, prevent stealing and vandalisation of road furniture, and discourage illegal dumping of refuse.

Umahi

Umahi

Engr. Umahi concluded by guaranteeing residents along the alignment that all environmental concerns raised during the inspection would continue to receive prompt attention through sustained stakeholder engagement and effective mitigation measures.

Mohammed A. Ahmed,
Director, Information and Public Relations.
7 July, 2026.
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