The Lagos State High Court has granted United Bank for Africa (UBA) Plc interim orders against Swiss energy trader Vitol SA and four other shipping companies over an alleged $242 million petroleum products diversion claim.
The bank alleges that the respondents wrongfully released petroleum cargoes consigned to its order under bills of lading. UBA maintains that the products were not delivered to it despite the completion of their voyages.
At a hearing last Thursday, Bode Olanipekun, SAN, lead counsel for UBA, urged the court to preserve assets linked to the disputed transactions. 
In a ruling, Justice K. A. Jose granted three prayers in the bank’s application, including requests to prevent the dissipation of assets and dealings with funds up to the disputed amount. However, the judge limited the orders to Vitol SA.
“Prayers 1–3 are granted as prayed against the 2nd Respondent only,” the judge ruled.
The application relied on Order 43 Rule 1 of the High Court of Lagos State (Civil Procedure) Rules 2019 and the court’s Practice Direction No. 2 of 2019.
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UBA Alleges Petroleum Cargoes Were Diverted
In an affidavit supporting the application, UBA Group Head of Recoveries and Remedial Management, Anthony Chilaka, outlined the transactions behind the dispute. He said the bank issued a letter of credit for Vitol SA to facilitate a petroleum products transaction. According to the affidavit, the cargoes were shipped to Nigeria, and the vessels’ masters issued bills of lading.
UBA alleged that Vitol subsequently endorsed the documents “to the order of” the bank and handed over the original copies. The bank argued that the endorsements entitled it to take possession of the cargoes once the voyages ended. However, Chilaka said UBA never received the gasoil.
“The applicant has not been given possession of the gasoil despite completion of the voyage,” the affidavit stated.
UBA further alleged that another party took possession of the cargoes instead. It argued that the alleged non-delivery amounted to conversion and negligence.
Bank Seeks Liability in Substantive Proceedings
UBA intends to pursue claims against Vitol SA and the vessel owners over alleged conversion, misrepresentation and negligence arising from the non-delivery of the products.
The bank also cited 34 financial institutions and public agencies in connection with its application. They include commercial banks, merchant banks, microfinance banks, the Nigerian Ports Authority and the Nigeria Customs Service.
The interim order preserves assets while the dispute proceeds. The allegations remain claims by UBA, and the ruling does not determine the substantive liability of the respondents.
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