A federal high court in Abuja has ordered Transnational Energy Limited, the operator of petroleum prospecting licence (PPL) 221, to pay N300 million in damages to Funmi Olawepo, the plaintiff, for unlawfully removing her as a shareholder and director of the company.
In suit number FHC/ABJ/CS/1652/2021, Gladys Olotu, the presiding judge, ruled that Transnational Energy, first defendant, violated both corporate governance standards and the provisions of the Companies and Allied Matters Act (CAMA) 2020.
The judge said the company contravened corporate records by altering official records with the Corporate Affairs Commission (CAC), second defendant, without the plaintiff’s knowledge or consent.
In the court ruling, the judge granted all seven reliefs sought by Olawepo.
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The court affirmed her ownership of shares and status as director, also ordering the CAC to nullify and expunge unauthorised changes filed on March 25, 2020.
The court also instructed the reinstatement of her name on all relevant corporate filings, ordering the first defendant to pay N300 million in compensation for breach of contract and unlawful removal.
More so, the court declared that the shares are personal property of the plantiff.
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The judge emphasised that Transnational Energy’s actions constituted a breach of fiduciary duty and a clear disregard for due process, stating that no director or shareholder can be unilaterally removed in violation of corporate law.
