An auto parts seller in the United Arab Emirates (UAE), ACE Performance Parts FZ LLC, has asked a Federal High Court in Abuja to approve the advertisement of a winding-up (liquidation) petition against a Nigerian company, Hescorp Automotive Limited, over an alleged debt of $50,139.42.
The winding-up process, which ultimately seeks to dissolve a company, was initiated by Ace’s lawyer, Ehizogie Esezobor Esq, in a petition marked FHC/ABJ/PET/12/2024.
The petition is brought pursuant to Order 19 of the Companies Winding-Up Procedures Rules 2004 and relevant sections in the Companies and Allied Matters Act (CAMA) 2020, which deal with the associated legal processes for liquidating the assets of a company.
Petitioner’s Claims
The lawyer sought “an order granting leave to the Petitioner/Applicant to advertise the winding-up petition of the Respondent Company, HESCORP AUTOMOTIVE LIMITED, in the Federal Government Official Gazette, Guardian, and Daily Trust Newspapers respectively, in compliance with the Companies Winding-Up Procedures Rules 2004.”
In an affidavit deposed by Chioma Ruth Onuoha, an international claims executive at Messrs Esezobor & Partners law firm, seen by Nairametrics, she claimed that the respondent, a private limited liability company, contracted auto parts business with the Petitioner in 2021, resulting in the supply of various automobile wheels and parts to the respondent by ACE Performance Parts FZ-LLC (an automobile company via Eastern Surplus & Equipment Co.).
She stated that the petitioner delivered the goods purchased to the respondent, who allegedly acknowledged receipt but had, when filing the petition, failed to pay for the items received despite several invoices sent.
The Petitioner claims it has made multiple demands for the respondent to settle the debt but to no avail.
The petitioner claims it has sent several email correspondences and demand letters, yet the debt remains unpaid.
“Despite demands made on the respondent to settle its indebtedness to the petitioner, the respondent has failed, refused, and neglected to pay the outstanding debt to date.
“The Petitioner has filed before this Honorable Court a petition for winding up of the Company due to the respondent’s failure to pay the debt owed to the Petitioner/Applicant, which has since become due and payable.
“The balance due for all products purchased is the sum of $50,139.42 (Fifty Thousand, One Hundred and Thirty-Nine Dollars, Forty-Two Cents).
“I firmly believe that before the petition can be heard by this Honorable Court, it is necessary that the said petition be advertised in the gazette and one nationwide daily newspaper,” she added.
She argued that it would be in the interest of justice if the application is granted, as the purpose of the advertisement is to notify all interested parties in the Nigerian company “to take necessary steps.”
It was gathered that the petition is slated for mention on November 18, 2024, before Justice Inyang Ekwo.
Nairametrics reports that the matter is to be freshly disputed, meaning the legal team of the respondents will be required to respond to the plaintiffs’ allegations by way of counter-affidavit, preliminary objection, and/or any other motion or processes.
The Federal High Court is usually one of the courts of first instance in company-related matters.
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