Federal High Court Orders Oriental Energy to Pay $43.51 Million to Indimi Daughters in Dividend Dispute
Nigerian Court Rules in Favor of Indimi’s Daughters in $43.51m Dividend Case
A Federal High Court in Nigeria has ruled that Oriental Energy must pay $43.51 million to the twin daughters of billionaire businessman Muhammadu Indimi following a long-running dispute over entitlement to dividends from the company. The judgment, delivered in 2026, marks a significant legal setback for the oil exploration firm and highlights complex issues around family ownership and shareholder rights in privately held enterprises.
Court Judgment and Background
The judgment stems from litigation initiated by Indimi’s daughters, Ameena and Zara, who argued that they were owed dividends representing a combined 10 % equity interest in Oriental Energy equivalent to $43.51 million from undistributed profits declared in 2016.
In their suit, filed initially in 2022 and expanded in 2024, the sisters alleged that they were coerced into relinquishing their original 5 % shareholdings each in the company, reducing their ownership to approximately 0.6 % apiece, while their father consolidated control. They maintain that this reduction deprived them of their rightful dividends.
Although Oriental Energy denied both the amount of dividends declared and that it owed the payments, the Federal High Court in a decision by Justice Evelyn Maha found that Ameena and Zara were entitled to the sum claimed.
Mechanics of Enforcement
Following the ruling, the daughters secured a garnishee order nisi on 13 February 2026 a preliminary court order that authorises freezing of the company’s funds held in Nigerian banks pending execution of the judgment. Accounts reportedly affected include those at Stanbic IBTC Bank, Guaranty Trust Bank, Access Bank, and Zenith Bank.
Oriental Energy has responded by filing a notice of appeal and seeking a stay of execution, which if granted could delay or prevent enforcement of the judgment while the appellate process is underway.
Legal and Corporate Governance Issues
The case illuminates several wider issues within family-controlled enterprises in Nigeria’s oil and gas sector:
Equity rights and dividend access: Minority shareholders particularly family members may face challenges in asserting their rights where governance structures lack transparency.
Documentation and disclosure: Disputes often arise over documented entitlements when historical decisions lack formal corporate governance safeguards.
Judicial enforcement: Garnishee orders and appeals underscore the judiciary’s role in balancing legal obligations with ongoing business operations.
Legal experts assert that the outcome if upheld on appeal could set important precedents for minority shareholder claims in closely held companies, where informal arrangements have historically prevailed.
Economic and Reputation Implications
For Oriental Energy, the ruling and potential enforcement could have both financial and reputational consequences. At a time when oil exploration companies face challenging global market conditions, a near-$44 million payout may affect capital allocation and investor confidence. Additionally, high-profile legal disputes involving family stakeholders attract public scrutiny that can influence perceptions of governance and risk.
While Oriental Energy remains operational across multiple offshore assets, the dispute underscores the strategic importance of strong governance frameworks in maintaining value and managing internal conflicts.
The Federal High Court’s decision to order Oriental Energy to pay $43.51 million to the daughters of Muhammadu Indimi reflects a definitive judicial stance on dividend entitlements in a high-stakes ownership dispute. As the company pursues an appeal and seeks a stay of execution, the case highlights broader themes of corporate governance, minority shareholder protection, and enforcement mechanisms within Nigeria’s legal and commercial landscape.
