AIR VIA LTD V. ORIENTAL AIRLINES LTD

Issue:

The Appellant herein (as Petitioner) in the winding-up petition brought under the Companies and Allied Matters Act, Cap.59 of Laws of the Federation of Nigeria, 1990 (hereinafter referred to in short as CAMA) had commenced the Winding-Up proceedings against the Respondent in the trial Court by filing the Petition at pages 3-34 of the Record. The Petition was served on the Respondent and the Petitioner (Appellant) brought an application to advertise the said Petition. The Petitioner filed an affidavit to the application to advertise the said petition wherein it stated the transaction between it and the Respondent which led to the indebtedness of the Respondent. It stated also that out of the sum of US$1,431,450.00 (One million four hundred and thirty one thousand, for hundred and fifty United States Dollars) due and payable by the Respondent to the petitioner, the respondent had only paid to the petitioner the sum of US$590,305.00 (Five Hundred and Ninety Thousand Three Hundred and Five Dollars) leaving an outstanding sum of US $841,545.00 (Eight Hundred and Five Dollars). By mutual understanding the sum of US $17,600.00 (Seven Thousand Six Hundred US Dollars) was deducted bringing the total outstanding amount to $823,545.00 (Eight Hundred and Twenty Three Thousand, Five Hundred and Forty five US Dollars). The petitioner says it had made several demands for the balance to no avail. It then believes that the Respondent is unable to pay its indebtedness hence the petition for winding up. The trial court found against the appellant as petitioner in the Federal High Court, Lagos Division and struck out the winding-up petition. The appellant appealed to the Court of Appeal. That court allowed the appeal and set aside the Ruling of the lower court per Mohammed Kolo, J. The court also struck out the petition filed for the winding_up of the Appellant's company with cost. The Respondent/Appellant/Respondent i.e. appellant herein has further appealed to the Supreme Court.