Facts:

Genak Continental Limited – the 1st respondent is a company registered in Nigeria and engaged in the business of importation and exportation of goods. It had sued the appellant an Inspection Agency appointed by the Federal Government by Ministry of Finance, the 2nd defendant/respondent.

On this occasion in 1997 Genak had ordered 3000 cartons of “Merry” a non alcoholic grape juice from a company in Spain. Importation documents indicated that the 3000 cartons contained “Merry” non-alcoholic grape juice.

The appellant represented by Intertee Testing Services was invited to carry out inspection of the goods. After inspection the appellant issued to the 1st respondent a certificate of clean report of findings and an import duty report. The report stated that the cargo of the 1st respondent was “other waters containing sweetners/flavourings” instead of ‘merry non-alcoholic grape juice’. This entry brought about a change of classification of the goods