KudiWave Technologies Limited has challenged a ₦750,369,439.04 debit from its account with PalmPay Limited, questioning the destination of the funds and the court order relied upon for the transaction.
PalmPay has, however, denied allegations that it unlawfully debited N750,369,439.04 fromKudiWave’s account, insisting that the transfer was carried out in compliance with a subsisting order of the Federal High Court.
The transaction was recorded on July 15, 2026, and was attributed by PalmPay to an order of the Federal High Court in Lagos issued on June 29 in proceedings involving the Inspector-General of Police.
KudiWave, however, said the order was subsequently set aside, vacated and discharged by the court on July 22 after the company challenged the circumstances under which it was obtained.
The dispute arose from an investigation by the Police Special Fraud Unit, Ikoyi, which had earlier secured an ex-parte order imposing a 90-day Post-No-Debit restriction on accounts belonging to several parties, including KudiWave.
A separate application was later filed by the police seeking an order concerning funds belonging to KudiWave with PalmPay.
The relief was granted by Justice Ibrahim Ahmad Kala on June 29.
KudiWave subsequently filed an application on July 3 seeking to set aside the order and stay its execution, arguing that it had not been properly served with the processes leading to the decision.
The company said PalmPay and the police were served with the application before it was heard on July 13. However, the ₦750.37 million was transferred from its account on July 15, two days after the hearing.
On July 22, the court set aside the June 29 order and directed that restrictions placed on KudiWave’s account be removed.
KudiWave is now questioning whether the July 15 transaction was executed in accordance with the terms of the earlier order. It alleged that the order provided for the funds to be transferred to a Police Recovery Account or an account associated with the Police Special Fraud Unit, while records available to it indicated that the money was transferred to an Access Bank business account.
However, responding to the allegations, PalmPay later categorically rejected claims that it unlawfully debited Kudiwave’s account, maintaining that the transaction complained of was carried out pursuant to a valid order of the Federal High Court.
In a statement signed by its Head of Marketing and Communications, Olorunfemi Hanson, the company said the transfer made on July 15, 2026, was executed in compliance with a subsequent order of the Federal High Court in Suit No. FHC/L/CS/795/2026, made on June 29, 2026, directing PalmPay to disclose the account balance and transfer the identified funds to a designated Police Recovery Account.
“The transfer referenced was made on July 15, 2026, in compliance with a subsequent court order of the Federal High Court in Suit No. FHC/L/CS/795/2026, made on June 29, 2026, which directed PalmPay to disclose the account balance and transfer the identified funds to a designated Police Recovery Account.
“At the time the transfer was effected, the court order remained valid and had not been set aside. PalmPay therefore acted in compliance with a binding directive of the Federal High Court,” the statement read.
PalmPay further stated that it neither initiated the transfer on its own nor retained or benefited from the funds.
“PalmPay did not initiate the transfer independently, nor did the company retain or benefit from the funds,” it said.
