It has been close to two years since 599 shareholders of Eleme Petrochemical Cooperative and Credit Society of Indorama Petrochemicals last received dividends from the shares they bought from the company.
All efforts to resolve the issue have been unsuccessful leading to pain and anguish for the shareholders who depend on the dividend from the shares for sustenance.
In 2009, the federal government through the National Council on Privatization (NCP) had approved the sale of 10% of its equity shares in Indorama Petrochemicals Ltd, Port Harcourt, Rivers State to the host community and interested staff of Indorama Eleme Petrochemicals Ltd. The 10% equity shares were shared as 7.5% was allotted to the host community while the remaining 2.5% was allotted to the Staff of Indoroma Eleme Petrochemicals.
Trouble then started when in 2013, 10 staff who initially subscribed to the purchase of the 2.5 equity shares had their jobs terminated from the employment of Indorama Petrochemicals. This led to the beginning of a legal battle as to whether the laid off staff can continue to enjoy the dividends since they were no longer staff in the company.
Justice Taiwo. O. Taiwo of the Federal High Court in Suit FHC/ABJ/SC/1222/2020 granted an order stopping the Economics and Financial Crimes Commission (EFCC) from arresting, inviting, detaining and prosecuting or inquiring into the acquisition of shares of Indorama Petrochemicals
Consequently, the EFCC approached another court and secured a judgement freezing the account of the cooperative society, hence began the ordeal of the shareholders who were then denied their dividend payment.
According to sources who spoke to Ripples Nigeria on condition of anonymity worried that they could be victimized for bringing the case to the press, they lamented that EFCC has flagrantly refused to obey the court order that stopped it from interfering in the case since a competent court of jurisdiction already affirmed the laid off staffs as the authentic owners of the shares.
“Indorama Petrochemicals has been paying the dividend regularly to the first registrar until the account was frozen by EFCC through a court judgement.
“The cooperative appealed and won the appeal in 2022 and the dividend were paid in bits on 24th, 28th and 29th December 2022. But since May 2023 till date, the shareholders have not been paid their dividends in their various accounts
“The EFCC is insisting that the cooperative should remove the exited staff from the payroll when a competent court of law already affirmed the laid-off staff as the authentic owners of the shares. It is of importance to note that this judgement has not been appealed to this day” the sources disclosed.
Continuing, the sources told Ripples Nigeria that an Annual General Meeting (AGM) was held in December 2024 where the president of the cooperative disclosed that he was asked to agree to the removal of the exited staff from the list but he refused saying he needed to meet the shareholders to discuss the matter with them.
He disclosed that he was told that if “the exited staff were not removed from the list, they wouldn’t pay us anymore which is wrong”.
According to the sources, they alleged that a report from a committee set up to look into the issue alleged that some powerful individuals with institutional backing were behind the ordeal of the shareholders.
“There are certain individuals with institutional backing working behind the scenes to ensure the money stays there for as long as possible because they are benefitting from it” the source alleged.
As it stands, shareholders are still waiting in anguish and pain to get justice, it is left to be seen how long the wait will be.
By Babajide Okeowo
The post EXCLUSIVE: Indorama shareholders’ long wait for dividend payment lingers amid anguish appeared first on Latest Nigeria News | Top Stories from Ripples Nigeria.