In a major legal setback for Guaranty Trust Bank (GTBank), the Court of Appeal has ruled against the bank’s attempt to reclaim a luxurious Ikoyi mansion valued at over ₦30 billion, belonging to Agboola Abiola, son of the late business mogul and acclaimed winner of the 1993 presidential election, Chief MKO Abiola.
The appellate court’s judgment overturned a 2014 High Court decision which had previously granted GTBank the right to foreclose on the property. The bank had claimed the mansion was used as collateral in securing a loan, but the latest ruling raised serious questions about the validity of the underlying documents.
In its verdict, the Court of Appeal pointed to glaring discrepancies and alleged forgery within the mortgage documentation presented by GTBank. The panel of justices emphasized that these irregularities rendered the foreclosure process null and void, stating that the legal foundation upon which the bank acted was fundamentally flawed.
Agboola Abiola, who had consistently maintained that he never authorized or signed any such mortgage deal, expressed relief at the court’s ruling. His legal team argued throughout the appeal that the documents used by the bank were falsified and had no basis in law.
This ruling not only restores ownership of the Ikoyi mansion to Abiola but also signals a stern warning to financial institutions about the legal and reputational risks of relying on questionable documents in property disputes.
GTBank has not yet released an official statement on the ruling or indicated whether it will pursue the matter further at the Supreme Court.