Seplat Energy Plc, said that it has taken legal action against its former chair cum co-founder, Dr Ambrose Orjiako and a consultancy firm, Amaze Limited at the Federal High Court in Abuja, Nigeria.
The Nigeria-focused energy company said that it has also terminated the consultancy agreement with Amaze after repeated warnings of infractions including “unilaterally making significant commitments on Seplat’s letterhead without prior board authority or knowledge.
The company said it took the decision to protect the Company and its shareholders, directors, and officers from potential and increasing liability from Orjiako’s conduct.
In a statement on Thursday signed by Basil Omiyi, its board chairman, Seplat explained that under the consultancy agreement, Orjiako, acting through Amaze Limited, was required to provide defined assistance with certain external stakeholder engagements following his retirement from the board last year.
Part of the statement read: “Seplat Energy Plc announces the termination with immediate effect of the Consultancy Agreement between the Company’s wholly-owned subsidiary and its co-founder, Dr. A.B.C Orjiako, acting through Amaze Limited.
“The termination follows the suspension of the consultancy agreement on 13 February 2023, as unanimously approved by the board of directors, following repeated warnings about breaches of a material nature, such as unilaterally making significant commitments on Seplat’s letterhead without prior board authority or knowledge.
“This course of action was necessary to protect the company and its shareholders, directors, and officers from potential and increasing liability arising from the conduct of the consultants, Dr. Orjiako and Amaze Limited.”
Mr. Orjiako served in the company as chair and stepped down in May 2022.