₦750M CONTROVERSY: KUDIWAVE
CHALLENGES PALMPAY TO PRODUCE COURT ORDER AUTHORISING TRANSFER TO ACCESS BANK
ACCOUNT
Federal High Court later vacated June 29 order, directed
removal of account restriction
By Our Investigations Desk
Kudiwave Technologies Limited has
challenged Palmpay Limited to produce the specific court order authorising the
transfer of ₦750,369,439.04 from its account to what the company says was an
Access Bank business account.
The demand follows a deepening dispute
over a transaction recorded on Kudiwave’s account on 15 July 2026 as a
“Judicial Adjustment.”
Kudiwave insists that no satisfactory
explanation has been provided for why more than ₦750 million belonging to it
was transferred, who ultimately received the funds and whether the receiving
account was the account specified by the Federal High Court order Palmpay
reportedly relied upon.
The technology company says the
controversy cannot be resolved merely by stating that a court order existed.
According to Kudiwave, the crucial
question is whether the actual transaction executed by Palmpay complied
strictly with the terms of the order.
COURT ORDER LATER VACATED
The order at the heart of the controversy
was made by the Federal High Court, Lagos Judicial Division, on 29 June 2026.
However, on 22 July 2026, the same court,
presided over by Justice Ibrahim Ahmad Kala, set aside, vacated and discharged
the earlier order following an application by Kudiwave.
The court also directed that restrictions
on Kudiwave Technologies Limited’s account be removed.
Kudiwave had complained that it was not
properly served with the application that resulted in the June 29 order.
In considering the challenge, the court
examined the circumstances of service and reportedly expressed concern over the
manner in which the processes were said to have been delivered.
The court ultimately found sufficient
grounds to grant Kudiwave’s application.
PALMPAY HAD NOTICE OF CHALLENGE, KUDIWAVE SAYS
Kudiwave says Palmpay was served with its
motion challenging the June 29 order after the application was filed on 3 July.
According to the company, the application
came before the court on 13 July and was thereafter adjourned for ruling.
Yet on 15 July, two days after the
hearing, ₦750,369,439.04 was allegedly removed from the company’s account.
Kudiwave says this chronology deserves
close scrutiny.
It argues that a financial institution
dealing with a transaction of such magnitude should have been aware that the
very order upon which enforcement depended was under active judicial challenge.
THE BENEFICIARY QUESTION
Kudiwave says the most troubling issue
remains the identity of the account that received the money.
The company contends that the June 29
court order contemplated transfer of the affected funds into a designated
Police Recovery or Police Special Fraud Unit exhibit account.
But Kudiwave says its account records
point instead to an Access Bank business account.
If confirmed, the company argues, Palmpay
must explain the authority under which the transfer was made to that
destination.
Kudiwave is therefore asking Palmpay to
make public or otherwise disclose the transfer instruction, beneficiary details
and court process relied upon.
FROM ACCOUNT RESTRICTION TO ₦750M TRANSFER
The legal battle began after an ex-parte
application by the Inspector-General of Police resulted in a 90-day
Post-No-Debit restriction being imposed on several accounts, including that of
Kudiwave.
The company says it initially struggled
to obtain a clear explanation from Palmpay regarding the reason for the
restriction.
It later traced the matter to an
investigation by the Police Special Fraud Unit, Ikoyi.
Kudiwave further alleges that during
efforts to have the restriction addressed, a demand of ₦50 million was made by
officers connected with the investigation.
The company says it refused the alleged
demand.
The allegation remains unproven in court.
Subsequent police proceedings sought
orders concerning funds belonging to Kudiwave, culminating in the June 29
decision that was later overturned.
“JUDICIAL ADJUSTMENT” UNDER QUESTION
Kudiwave says the description “Judicial
Adjustment” attached to the ₦750.3 million debit raises more questions than it
answers.
A court order, the company argues, is not
an open-ended instrument.
Its terms, beneficiary, scope and
conditions must be followed exactly.
Kudiwave’s position is that Palmpay must
demonstrate not merely that an order existed, but that the specific debit and
transfer made on 15 July were expressly authorised by that order.
COMPANY SEEKS RECOVERY, ACCOUNTABILITY
Kudiwave is considering further
proceedings to recover the money and establish the roles played by every person
or institution involved.
It is also seeking regulatory scrutiny of
the transaction.
The company says the matter touches on
broader principles of banking responsibility, due process and the obligation of
financial institutions to safeguard customer funds while complying strictly
with lawful judicial directives.
For now, one question remains at the
centre of the dispute:
If the court order relied upon contemplated a designated police recovery account, who received Kudiwave’s ₦750,369,439.04 — and on whose authority?