Sunrise Products Sues Nova Bank for Inflated Charges

Sunrise Products, a Nigerian plastic manufacturing company, has initiated legal action against Nova Commercial Bank in the Federal High Court in Lagos, accusing the bank of inflating its debt profile and imposing unauthorized charges. The company is seeking $10 million in damages and an additional $5 million to cover legal costs.

According to court filings by the company's counsel, Sivbon Edu, the bank allegedly manipulated account records, presenting inconsistent debt figures in an attempt to recover funds that Sunrise Products insists it does not owe. The dispute originated from a $1.5 million import financing facility granted to Sunrise Products in February 2020 for the import of raw materials.

The bank's claims reportedly fluctuated significantly, with debt figures ranging from $1.89 million in April 2022 to $2 million in August 2023. Despite a forensic audit revealing excess charges amounting to $1.97 million, the bank allegedly continued to enforce actions against Sunrise Products, including attempts to assert control over its assets without clearly establishing the debt.