Parallex Bank
The Federal Capital Territory High Court has dismissed in its entirety the suit filed by the logistics firm, FHT Mega Express Limited against Parallex Bank Limited wherein the company claimed N7.1billion against the Bank.
In the suit, the Court upheld Parallex Bank’s preliminary objection that the case amounted to a gross abuse of court process.
It would be recalled that the logistic company had obtained an ex parte order against the Bank to freeze the Bank’s funds up to the sum of N7.1billion with the Central Bank of Nigeria. Parallex Bank challenged this ex parte order by filing a Notice of Preliminary Objection, urging the Court to strike out and/or dismiss the suit on the ground that it constitutes an abuse of court process, particularly in light of the subsisting suit which the Bank had earlier instituted against this company before the High Court of Lagos State to recover this company’s outstanding indebtedness to Parallex Bank.
In its ruling delivered on the 20th day of April 2026, the Court held that FHT’s suit filed against the Bank was indeed abusive in nature and upheld the arguments canvassed by the Bank. Consequently, the suit was dismissed in its entirety. The Court further awarded costs in the sum of ₦500,000.00 against FHT Mega Express and in favour of Parallex Bank.
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Background to the Dispute
The dispute dates back to September 4, 2025, when Parallex Bank filed Suit No. FHC/L/CS/1774/2025 before the Federal High Court, Lagos, seeking to recover indebtedness of ₦4.5 billion from FHT Mega Express. The debt reportedly arose from Letters of Credit issued to finance import transactions worth millions of euros for FHT. Justice Lewis Allagoa of the Federal High Court had earlier ordered all parties to maintain the status quo pending the determination of the substantive matter. However, FHT Mega Express allegedly embarked on multiple suits in different jurisdictions — a move Parallex Bank described as forum shopping. After withdrawing a similar case filed at the Lagos State High Court, FHT Mega Express instituted the Abuja action two days later, raising nearly identical claims and seeking fresh ex parte reliefs.
Allegations of Concealment
Parallex Bank argued that FHT Mega Express deliberately concealed:
- The existence of the earlier Federal High Court suit the Bank filed against the Company in Lagos;
- The subsisting order of Justice Allagoa for parties to maintain status quo;
- Its failed bid to secure ex parte orders in Lagos State.
The Bank maintained that this suppression of material facts misled the Abuja court into granting interim orders that should never have been made.
Court’s Findings
The Court agreed with Parallex Bank’s submissions, holding that FHT Mega Express’ conduct demonstrated bad faith and constituted a clear abuse of judicial process. In striking out the case, the Court emphasized that disputes must not be duplicated across jurisdictions for strategic advantage.
Parallex Bank Reacts
Sources close to the bank reports that Parallex Bank welcomed the ruling, describing it as “a triumph for due process, transparency, and the rule of law.”
The outcome reinforces the bank’s commitment to sound corporate governance and lawful conduct in all their dealings while upholding stakeholder trust and ensuring the integrity of their operations.”
Broader Implications
Legal observers note that the ruling underscores the judiciary’s intolerance of procedural abuse in commercial disputes. The decision is expected to serve as a precedent in banking litigation, reinforcing the judiciary’s stance against multiplicity of suits and forum shopping.
The court ruling clears the way for Parallex Bank to recover funds tied up in the longstanding dispute and affirms its right to pursue all lawful remedies in protecting its financial and reputational interests.
