A Federal High Court sitting in Abeokuta has granted an interim order restraining the federal government from taking over the unclaimed dividends of shareholders in the capital market estimated to be over N200 billion.

The order followed a suit instituted by shareholders under the aegis of Palm Wealth Shareholders Association (PWSA).

The Finance Act 2020 signed into law last February by President Muhammadu Buhari provides that any unclaimed dividends of a public limited liability company quoted on the Nigerian Exchange Limited (NGX) and any unutilised amounts in a dormant bank account maintained in or by a deposit money bank, which has remained unclaimed or unutilised for a period of not less than six years from the date of declaring the dividend or domiciling the funds in a bank account, shall be transferred immediately to Unclaimed Funds Trust Fund.

But shareholders and other stakeholders in the financial sector had faulted the proposal. As part of efforts to stop the federal government from taking over the funds, PWSA instituted a case against the government at the Federal High Court in Abeokuta.