The Federal Capital Territory High Court has dismissed a case filed by logistics firm FHT Mega Express Limited against Parallex Bank Limited over a disputed N4.5 billion debt, ruling that the suit amounted to an abuse of court process.
In its judgment, the court upheld a preliminary objection by Parallex Bank, which argued that the matter was improperly filed and overlapped with an existing case already before another court. The judge agreed that the action constituted a gross abuse of judicial process and consequently struck out the suit in its entirety.
The logistics company had initially sought a claim of N7.1 billion against the bank and secured an ex parte order freezing funds belonging to Parallex Bank with the Central Bank of Nigeria. However, the bank challenged the order, insisting that there was already a pending suit it had filed earlier at the Lagos State High Court to recover outstanding debts from FHT Mega Express.
That earlier case, which originated from alleged indebtedness linked to Letters of Credit used to finance import transactions worth several million euros, remains active and is still pending determination.
The dispute also follows an earlier order by Justice Lewis Allagoa of the Federal High Court in Lagos directing all parties to maintain the status quo while proceedings continue in the substantive matter.
In addition to dismissing the suit, the court awarded ₦500,000 in costs against FHT Mega Express in favour of Parallex Bank.
Reacting to the ruling, Parallex Bank described the judgment as a victory for due process, transparency, and the rule of law. The bank also reaffirmed its commitment to corporate governance and lawful financial practices, stating that the outcome reinforces trust in its operations and stakeholder relations.
The case highlights ongoing tensions between corporate borrowers and financial institutions amid increasing scrutiny of credit facilities and debt recovery processes in Nigeria’s banking sector.
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