A Nigerian court rejected Royal Dutch Shell Plc’s bid to overturn an order restricting access to the company’s bank accounts in the West African country, according to reports.
Shell had sought to overturn an order restricting access to its bank accounts in the country.
Aiteo Eastern E&P Co. obtained an injunction from a federal court in Lagos on Jan. 25 directing Shell and multiple Nigerian banks not to let the oil major withdraw funds “without first preserving or ring-fencing” almost $2.8 billion. A judge refused Shell’s application to vacate the order at a hearing on Tuesday, according to a spokesman for the company’s Nigerian unit.
Shell has filed an appeal against the decision maintaining the freeze, the spokesman said. A spokesman for Aiteo, which is demanding billions of dollars in damages from Shell in the underlying lawsuit, didn’t respond to a request for comment. The case has been adjourned until March 29.
