Electricity provider Ikeja Electric Plc and other parties have refuted claims of being in receivership, mentioning a court order cautioning against unwanted actions.
The past few weeks have seen a flurry of speculations regarding the potential receivership of power companies Egbin Power Plc, Ikeja Electric Plc, and First Independent Power Limited. However, the management of these companies have vehemently denied these claims, urging the public to disregard any false reports.
In a recent development, the Federal High Court has clarified its stance on the matter. According to court records, the core matters referenced are currently being litigated, and the lenders, represented by the receiver/manager, have formally submitted to the court's jurisdiction. The rulings delivered on August 5, 2025, explicitly restrained the lenders and their purported receiver/manager from taking any adverse actions.
The Companies and Allied Matters Act provides various modes for winding up (dissolving) a company, including by the court, voluntary winding up, and winding up under the supervision of the court. In the case of a winding up by a court, a petition is filed by a petitioner who claims an entitlement based on debt, and the court will review the evidence before passing an order for or against the company's dissolution.
A voluntary winding up of a company is initiated either by its shareholders or creditors, where the company is proven to be insolvent. In such a case, all creditors are required to send their proof of claims to the receiver/manager within 14 days from the date of the publication.
It is essential to note that the management of the power companies have categorically denied being in receivership. The management of Egbin Power Plc, Ikeja Electric Plc, and First Independent Power Limited have refuted false media reports alleging the appointment of 'Kunle Ogunba Esq. SAN' as receiver/manager over the said entities. Similarly, Osadare denied the appointment of a receiver/manager over KEPCO Energy Resource Nigeria Limited, NG Power-HPS Limited, and New Electricity Distribution Company.
The Federal High Court Headquarters announced the creation of an 'Insolvency Unit' for the Court in March 2025, aimed at addressing the implementation of laws relating to company restructuring and dissolution in Nigeria. This unit was created following approval by the Chief Judge of the Federal High Court, Justice John Terhemba Tsoho.
The power companies have also emphasised that their assets, businesses, or undertakings are not under the management of any external receiver/manager. Consequently, the public, valued customers, financial partners, regulators, and all stakeholders are urged to disregard falsehoods presented in certain advertisements and related press releases.
In light of the ongoing litigation, it is advisable to await the court's final decision on the matter. The court, with its jurisdiction over the creation, formation, and operations of companies, among other company-related matters, will review the evidence presented by all parties and make a ruling in accordance with the law.
In conclusion, while speculations about the receivership of the power companies have been rampant, the management of these companies has consistently denied these claims. The Federal High Court has also issued rulings restraining the lenders and their purported receiver/manager from taking any adverse actions. It is crucial to await the court's final decision on the matter.
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