ACCESS BANK PLC v. EMMANUEL IKPON & 2 ORS.

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Facts:

The 1st Respondent as Plaintiff sued the 2nd and 3rd Respondents as Defendants at the Federal High Court, Ikoyi, Lagos, for the recovery of the loan advanced to the 2nd and 3rd Respondents for the purchase and export of cocoa products. The trial Court assumed jurisdiction over the matter and on 16/3/2005, entered judgment in favour of the 1st Respondent for the sum of $440,000 against the 2nd and 3rd Respondents. In execution of the judgment, the trial Court issued a Garnishee Order Nisi against the Appellant attaching the funds in the account of the 2nd Respondent with the Appellant, who was indebted to the Appellant to the tune of about N30 million. However, the 2nd Respondent’s account with the Appellant was frozen since 2003, even before the suit was instituted, following criminal investigation against the 2nd Respondent and its Managing Director. The trial Court made the Order Nisi absolute and further issued Writ of Execution against the Appellant. Based on the Writ of Execution, the 1st Respondent attempted to execute the Garnishee Order absolute against the Appellant, who discovered that the substantive suit over which the trial Court assumed jurisdiction and entered judgment falls outside the jurisdiction of the Federal High Court by virtue of Section 251 of the Constitution of the Federal Republic of Nigeria, 1999, as amended, and as such, a nullity. As a person affected by a judgment that is a nullity, the Appellant’s application for the trial Court to set aside the judgment that was given without jurisdiction, was struck out. He appealed to the lower Court, which dismissed same, hence this appeal.

The 1st Respondent has on the other hand showcased the facts tersely that after suing the 2nd and 3rd Respondents, it obtained judgment on the merit. In the process of executing the judgment, it was realized that the 2nd and 3rd Respondents did not have sufficient funds to meet the cost of the judgment. Then the Appellant came on the scene based on a Garnishee Proceedings and on the fact that the 2nd and 3rd Respondents (Judgment Debtors/Respondents) have accounts with the Appellant (Garnishee Bank). The 2nd and 3rd Respondents later filed an appeal dated 14th October, 2005, against the decision of the learned trial Judge to grant the application for a decree absolute. The Appellant as Garnishee also in an application dated 22nd June, 2005, sought for an Order varying the Garnishee Order Absolute or setting same aside; which in a ruling dated 13th October, 2005, dismissed the application. Dissatisfied with the ruling, the Appellant filed an appeal dated 27th October, 2005 against the said ruling. The Appellant for over 2 years failed to prosecute the appeal and apparently abandoned same. Consequent upon the said deliberate failure, the 1st Respondent filed an application at the Court of Appeal in Appeal No.: CA/L/893M/2007 seeking to strike out the Notice of Appeal. Upon the service of the Notice of Motion in Appeal No.: CA/L/893M/2007 on the Appellant, the Appellant then filed the Motion on Notice dated 15/1/2008, which the trial Court heard and dismissed.

Dissatisfied, the appellant appealed to the Court of Appealed and the appeal was dismissed. Further dissatisfied, the appellant appealed to the Supreme Court.

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