Ecobank Nigeria to enchantment Honeywell’s N72 billion court docket judgement

Ecobank Nigeria Restricted has mentioned that it’ll enchantment a judgment by the Federal Excessive Court docket in Lagos, presided over by Hon. Justice Liman, which delivered a judgment in favour of Honeywell Flour in opposition to the financial institution and ordered it to pay the sum of N72 billion.

In an announcement made out there to Nairametrics, the financial institution mentioned it believes that the judgment is perverse and can’t stand the check of time.

It additionally famous that it might vigorously problem the identical and stay assured that it might probably reverse this judgment on the increased courts.

In line with the financial institution, the moment go well with was an motion filed in 2018 for the enforcement of the Financial institution’s Enterprise as to Damages which was filed in pursuance of its Winding Up Petition and the Ex-Parte Orders which have been granted in favour of the Financial institution.

• “We challenged the motion by way of a Discover of Preliminary Objection dated sixteenth October 2018 whereby we challenged the jurisdiction of the Federal Excessive Court docket, as (amongst different causes), the motion didn’t fall inside the provisions of Part 251 (d) of the Structure, being that the subject material of the go well with was for the Declare of Damages arising out of an Ex-Parte Order, versus a Banker-Buyer relationship.
• The trial was concluded on this matter on ninth March 2021 and the events adopted their closing written addresses alongside our Discover of Preliminary objection on sixteenth March 2022, the Court docket then adjourned the matter to twenty seventh Could 2022 for judgment.
• Whereas the court docket did not ship judgment on the mentioned date, the registrar of the court docket promised to tell counsel at any time when the judgment was prepared”.
• “Within the wake of the Supreme Court docket’s determination within the Financial institution’s favour, in Go well with No. SC/CV/210/2021 which was delivered on twenty seventh January 2023, the financial institution additional filed a Movement on discover dated ninth March 2023 to dismiss the Go well with as a result of the identical has turn into tutorial because of the judgment entered in favour of Ecobank whereby the Supreme Court docket held that Honeywell remained indebted to the Financial institution. 
• The Court docket heard a movement dated ninth March 2023 and adjourned to twenty third June 2023 for ruling on our two purposes and likewise for supply of judgment.
• The Court docket consequently delivered the mentioned ruling/judgment at this time July 18 through a digital continuing at about 4 pm.  
• In its Judgment, the Court docket dismissed the 2 purposes we filed, holding that it has jurisdiction to entertain the go well with and likewise that the go well with had not turn into tutorial,” the financial institution. 

In line with the financial institution, in reaching its judgment, the Court docket ignored/refused (amongst others): 

• Submissions exhibiting that the Ex-Parte Orders have been discharged on factors of regulation and never that it was frivolously obtained by the Financial institution.
• That the Ex-Parte Order lasted for lower than 2 weeks, opposite to the Declare of Honeywell which was mentioned to have coated three years.
• That the paperwork offered by Honeywell, significantly the annual returns didn’t present the alleged injury, therefore similar was certainly non-existent.
• That paperwork from numerous different Banks who have been served with the ex-parte order confirmed that the Honeywell firms have been certainly extremely indebted to them, therefore there was no approach the Ex-Parte Orders would have frozen funds within the mentioned Banks.
• Extra importantly, the Court docket refused all of the objections relating to the paperwork maliciously ready by Honeywell for the only goal of instituting the Go well with and claiming unjustifiable sums from the Financial institution.

The financial institution reiterated that it’s a member of the Ecobank Group, the Pan-African Financial institution which is proudly and totally dedicated to transparency in all of the international locations the place it operates and abides by legal guidelines and laws.

It believes that this matter ought to be conclusively decided in step with the relevant judicial course of.

What it’s best to know:

Justice Muhammad Lima of the Federal Excessive Court docket in Lagos on Tuesday ordered Ecobank Plc to pay the Honeywell Group N72 billion over an unlawful ex-parte order obtained by the financial institution in opposition to Honeywell Group.

In his judgment, delivered through Zoom, Justice Liman granted all reliefs sought by Honeywell, dismissing Ecobank’s request.

The court docket held that;

• “The plaintiff (Honeywell Flour Mills) was denied using funds in his account based mostly on the ex parte order granted in favour of the Defendant.
• “It’s, due to this fact, my agency view that Plaintiff is entitled to the quantity claimed in aid 2.
• “The argument of the Defendant in his written handle is, due to this fact, not acceptable because the contents of the doc are the most effective proof and so they converse for themselves,” Justice Liman said.

He additionally frowned at Ecobanks’s lawyer’s method stating that, “The aim of an enterprise to pay damages has been held in a legion of circumstances to indemnify the get together for the losses he might endure on the bases of an ex parte order.

Notice that Rule 4 of the Winding Up Guidelines supplies that each one purposes which have an effect on the rights of events in a winding-up continuing have to be made on discover.