Former Deputy Senate Majority Leader, Jonathan Zwingina, In Trouble Over Alleged 24 Years Old Unpaid N30 Million Loan

Former Deputy Senate Majority Leader

OpenLife Nigeria reports that a Nigerian senator, Jonathan Zwingina alongside his company, Grandview Investment Limited, has been dragged before a federal high court in Lagos south West Nigeria by Asset Management Corporation of Nigeria AMCON over inability to pay a debt of N38,590,288.50.

According to statement of claim accompanied by a sworn deposition of the Accounting officer of AMCON,Mr.Funso George and filed before the court,the deponent avers that the first Defendant Grandview Investment Limited is a private limited liability Company registered under the Companies and Allied Matters Act, 2004 (now Amended in 2020) with its registered address at 21, Kashim Ibrahim Way, Jimeta, Yola, Adamawa State and its business address Suit 2, City Plaza, Plot 596, Ahmadu Bello Way,Abuja.

The second Defendant Senator Johnathan Zwingina is a Nigerian citizen and the Chief Executive Officer of the Company who gave a personal guarantee as a security for the facility obtained by the company from Fountain Trust Bank (Now Heritage Bank) with his personal guarantee and promissory notes.

At all material times, there was a banking relationship between the company and Fountain Trust Bank (now Heritage Bank) to which they applied for and were granted credit facility by the bank.

Particulars of Indebtedness

The Plaintiff avers that between 29th of November,2002 and 20th March,2003 offered loan in the sum of N30 Million to meet business needs of the Defendants.

The Plaintiff avers that in all cases and at all times, the Defendants accepted the offers made by Fountain Trust Bank (Now Heritage Bank.)

The loan facility has since fallen due for repayment but the Defendants have failed, refused and neglected to make repayment as agreed by the parties,as several letters were written to the Defendants for the repayment of the outstanding Indebtedness but the Defendants failed,refused and neglected to repay the loan.

However,by Loan Purchase and Limited Servicing Agreements dated 6th April, 2012, the Plaintiff acquired the defendants’ debt from Heritage bank thereby assumed the position of the original lenders of the Facilities to the Defendants.

The Plaintiff further avers that upon the acquisition of the debt by the AMCON,the total outstanding amount loan with accrued interest is in the sum of =N=38,590,288.50 (Thirty Eight Million,Five Hundred and Ninety Thousand,Two Hundred and Eighty Eight Naira, Fifty Kobo).

That interest as agreed on the facility continues to accrue on the said outstanding sum till the outstanding debt is liquidated.

The Plaintiff avers that despite several demands from the Plaintiff,the Defendants have failed, refused and/or neglected to pay the outstanding debt owed to the Plaintiff.

Consequently,the Plaintiff claims against the Defendants as follows: A declaration that the Defendant is indebted to the Plaintiff in the sum of =N=38,590,288.50 (Thirty Eight Million, Five Hundred and Ninety Thousand,Two Hundred and Eighty Eight Naira, Fifty Kobo) which is the amount sum owed and continues to accrue interest per annum till date.

An order freezing all the bank accounts held or maintained by the defendants and/or financial institutions listed before the court

An order freezing all the bank accounts to which the Defendants are a signatory either alone or with any other person(s)in any of the banks and/or final institutions listed before the court pending the hearing and fn ial determination of the Appliant’s substantive suit.

An order of Interim Injunction restraining all the banks and/or financial institutions listed before the court above from releasing or dealing in any manner howsoever with the monies, negotiable instruments, chooses in action held in the account(s) maintained by the Defendants or monies held in any account(s) to which the Defendants are signatories pending the hearing and final determination of the Applicant’s substantive suit for debt recovery against the Defendants.

An order directing all the listed banks and/or other financial Institutions in Nigeria that are in possession of the monies of the Defendants to pay all such monies into an interest yielding account to be opened by the Chief Registrar of the Honourable Court,howsoever designated and standing to the credit of the Applicant and any account(s) to which the Defendants are signatory up to the amount of the Plaintiff/Applicant’s claim in the sum of =N 38,590,288.50(Thirty Eight Million,Five Hundred and Ninety Thousand,Two Hundred and Eighty Eight Naira, Fifty Kobo) which is the amount sum owed and continues to accrue interest per annum till date.

25% interest on the Judgment sum from March 2023 until same is fully liquidated, being the cost of the legal action.

Jonathan Zwingina is a Nigerian politician who was elected Senator for the Adamawa South constituency of Adamawa State, Nigeria at the start of the Nigerian Fourth Republic, running on the People’s Democratic Party (PDP) platform.

He took office on 29 May 1999. He was reelected in April 2003, again on the PDP platform. After taking his seat in the Senate in June 1999, he was appointed to committees on Works & Housing (chairman), Establishment, Internal Affairs, Information, Special Projects, Privatization and Economic Affairs.
Zwingina’s palatial residence in Abuja was demolished in February 2007, allegedly on the orders of Nasir el-Rufai, the Federal Capital Territory Minister.

Before then, he had served as the Director-General of Chief MKO Abiola presidential campaign under the platform of the Social Democratic Party (SDP) in the 1990s and was appointed commissioner under the military administration in Adamawa State after annulment of June 12 election by the then military president, General Ibrahim Badamasi Babangida (rtd).
A first class graduate of the prestigious University of Ibadan, Zwingina worked as academic staff at the then College of Preliminary Studies Yola (now State Polytechnic Yola) and obtained his PhD from an Australian university before working with MAMSA.
At the senate, he served on various committees, including Works and Housing, Establishment, Information, Internal Affairs, Special Projects, Privatisation and Economic Affairs during his eight years in the upper chamber.