An Ikorodu division of Lagos State High Court, has ordered the possession and sale of a land measuring 1,767.83-square-metre, belonging to an alleged debtor, Aina Sotomi, after finding that he and his guarantor failed to repay a loan facility owed to Lifted Multipurpose Cooperative Society Limited.
Justice Adeniyi F Pokanu, who presided over the court made the order in a judgment delivered on September 18, 2026, in the suit marked IKD/190SOLMW/2026, filed by Cooperative Society against Sotomi and his guarantor, Olatayo Oluwaseyi Johnson.
The judge also ordered both Sotomi and Johnson to pay the sum of N28.789 million, to the Cooperative Society, as outstanding indebtedness arising from the loan agreement.
The claimant, Lifted Multipurpose Cooperative Society Limited, through its lawyer, Adeniyi Joshua Esq, had dragged both Sotomi and Johnson before the court over their failure to pay the outstanding debt.
The court heard that Sotomi obtained a N15 million loan from the claimant under an agreement dated February 21, 2025, with a repayment schedule requiring a cumulative payment of N22.2 million.
Johnson subsequently executed a guarantee agreement, undertaking to repay the facility should Sotomi default, while Sotomi pledged his property at Block XXII, Plot 1, Rolu Family Land, off Ikorodu/Itokin Road, Parafa, Idi-Orogbo Village, Ikorodu, now known as 7/9 Akinlabi Street, Rolu Estate, as collateral.
The claimant had told the court that the defendants failed to honour their repayment obligations despite several demands. Adding that its final demand put the outstanding debt at N28.789 million.
The defendants, through their lawyer, Emeka Chukwurnaife Esq, however, challenged the amount claimed by the claimant, arguing that they had made repayments and that the interest imposed was excessive.
The two defendants also contended that the claimant had failed to properly establish a valid legal mortgage and that the matter involved substantial disputes of fact which could not properly be determined through an originating summons.
Delivering judgment in the suit, Justice Pokanu, after considering the submissions of the parties, rejected the defendants’ objection, holding that the affidavit evidence did not disclose any substantial dispute of fact capable of preventing the court from determining the matter through the procedure adopted.
The judge noted that the first defendant had, in correspondence, acknowledged the indebtedness and sought restructuring of the loan.
The judge also held that the collateral agreement created an equitable mortgage over the property, despite the defendants’ arguments concerning Governor’s Consent, registration and perfection of a legal mortgage.
In granting the reliefs sought by the claimant, Justice Ponuka held that: “… I therefore return positive answers to the Questions Nos. 1 and 3 posed in the applicant’s originating Summons, in the light of my findings above. I pose a limited positive Answer to Question 2 to wit: That the Claimant is entitled to an order of Possession atid sale of the Subject Property and not Foreclosure.
“The reliefs sought are the remedies or declarations that the Claimant believes they are entitled to, based on the court’s answers to these legal questions.
“In the circumstances, the Claimant’s Originating Summons dated 23rd March 2026 succeeds in part and it is hereby ordered in the following terms:
“It is declared that the Claimant is entitled to enforce the security or interest created in its favour pursuant to the Collateral Agreement and Guarantee Agreement dated 21st February, 2025,
“An Order of Possession and Sale of the 1st Defendant’s Collateral Property at Block XX, Plot 1, Rolu Family Land, Off Ikorodu/Itokin Road, Parafa, Idi-Orogbo Village, Ikorodu, Lagos State measuring 1767.83 Square Meters now known as 7/9 Akinlabi Street, Rolu Estate, Parafa, Ikorodu, Lagos State is hereby granted.
“An Order of Perpetual Injunction is made restraining the 1st Defendant, his privies, legal/personal representatives, successor-in-title and assign from the collateral property at Block XXII, Plot 1, Rolu Family Land, Off Ikorodu/Itokin Road, Parafa, Idi-Orogbo Village, Ikorodu, Lagos State measuring 1767.83 Square Meters now known as 7/9 Akinlabi Street, Rolu Estate, Parafa, Ikorodu, Lagos State.
“The Defendants are directed to pay the sum of N28,789,000 (Twenty Eight Million, Seven Hundred and Eighty Nine Thousand Naira) by virtue of the Loan Agreement dated 21st February, 2025 and Guarantor Agreement dated 21st February, 2028.”
The judge however, declined to grant the claimant’s request for foreclosure, holding that the evidence did not establish the deposit of title deeds required for that remedy. While also refused the claimant’s request for an order compelling the police and other security agents to assist in taking possession, holding that the proposed security agencies were not parties to the suit and that the relief did not flow from the questions submitted for determination.