Lagos High Court Freezes Petrocam Accounts and Director BVN Over Alleged N9 Billion Debt to Zenith Bank

Zenith Bank secures a court order freezing Petrocam Trading accounts and its director's BVN over a N9 billion debt related to petroleum import facilities.

By: AXL Media

Published: Mar 12, 2026, 6:19 AM EDT

Source: The information in this article was sourced from Business Hallmark

Judicial Intervention in Energy Sector Debt Dispute

The Federal High Court in Lagos has moved to secure billions in disputed funds following an application by Zenith Bank Plc against Petrocam Trading Nigeria Limited. Justice Chukwujekwu Aneke granted an interim order on Wednesday that effectively halts all financial movement for the energy firm and its leadership. This judicial freeze is intended to preserve the status quo until the court can hear a substantive motion regarding the alleged debt. The ruling highlights the increasing use of ex parte applications by Nigerian financial institutions to mitigate the risks associated with high value corporate defaults in the oil and gas sector.

Biometric Restrictions and Banking System Liens

In a significant move to ensure the efficacy of the freeze, the court extended the restriction to the Bank Verification Number (BVN) associated with Petrocam’s principal, Patrick Ilo. By targeting the BVN, the court has authorized a "Post-No-Debit" status on every account linked to Ilo across the entire Nigerian financial landscape. This directive compels commercial banks, as well as electronic payment giants like Interswitch and the Nigeria Inter-Bank Settlement System, to immediately block any outgoing transactions. The inclusion of the payment ecosystem in the order reflects a modernized approach to debt recovery, ensuring that funds cannot be moved through digital wallets or alternative fintech channels.

Structural Failures in Credit Facility Compliance

The legal friction originated from a specific credit facility designed to finance petroleum imports. According to court filings submitted by Zenith Bank, the loan was contingent upon a set of rigorous operational protocols that Petrocam allegedly failed to satisfy. These requirements included the domiciliation of sales proceeds from major industry players, such as Total Nigeria and Oando, directly into the Zenith Bank account. The bank’s petition suggests that the contractual agreement was built on a foundation of strict reporting, requiring quarterly management accounts and audited statements to ensure the lender remained informed of the borrower’s liquidity.