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Federal High Court Freezes Kano State Government Bank Accounts in N30 Billion Compensation Dispute

ONUAH YVONNE by ONUAH YVONNE
December 7, 2023
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Federal High Court Freezes Kano State Government Bank Accounts in N30 Billion Compensation Dispute
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A Federal High Court in Abuja has issued a garnishee order to freeze a minimum of 24 bank accounts linked to the Kano State government. This action comes in response to a compensation amounting to N30 billion granted to the Incorporated Trustees of Masalachi Eid Shop Owners and Traders Association. The compensation is related to the demolition of their shops in the state.

In a recent development, a Federal High Court in Abuja has issued a garnishee order to freeze a minimum of 24 bank accounts linked to the Kano State government. This action comes in response to a compensation amounting to N30 billion granted to the Incorporated Trustees of Masalachi Eid Shop Owners and Traders Association. The compensation is related to the demolition of their shops in the state.

Justice I. E. Ekwo granted the garnishee order in a lawsuit initiated by the affected shop owners and traders, who denounced the demolition of their shops as an unlawful act conducted by the state in June 2023.

According to details outlined in a Certified True Copy (CTC) of the ruling delivered on 28th November 2023, signed by the Registrar, Chioma Chijioke, the court ordered the freezing of funds, both present and future, belonging to Kano State Government, Kano State Urban Planning and Development Authority (KNUPDA), and the Attorney General of Kano State. This includes specific accounts such as the Kano State FAAC Account and Account No. 1019716320 at UBA, as well as Account No. 1790249410 at Polaris Bank, among others. The total sum of N30 billion is to be attached in satisfaction of the judgment of the Federal High Court sitting in Kano.

The order also includes a cost of N2 million for the Garnishees proceeding, with the Garnishees ordered to appear before the court to show cause, if any, why the order Nisi should not be made absolute against them. Justice Ekwo stated, “Judgment creditors are to serve the defendants and Garnishees at least 14 days before the next date of hearing.”

However, the court has adjourned the case to allow the garnishees an opportunity to present their case. The hearing is scheduled for 18th January 2024.

The 24 frozen accounts span across various banks, including the Central Bank of Nigeria (CBN). It is noteworthy that the Incorporated Trustees of Masalachi Eid Shop Owners and Traders Association had previously taken legal action against the state government, resulting in a Federal High Court in Kano ruling in favor of the shop owners and directing the government to pay a compensation of N30 billion to the affected parties.

Justice I. E. Ekwo granted the garnishee order in a lawsuit initiated by the affected shop owners and traders, who denounced the demolition of their shops as an unlawful act conducted by the state in June 2023.

According to details outlined in a Certified True Copy (CTC) of the ruling delivered on 28th November 2023, signed by the Registrar, Chioma Chijioke, the court ordered the freezing of funds, both present and future, belonging to Kano State Government, Kano State Urban Planning and Development Authority (KNUPDA), and the Attorney General of Kano State.

This includes specific accounts such as the Kano State FAAC Account and Account No. 1019716320 at UBA, as well as Account No. 1790249410 at Polaris Bank, among others. The total sum of N30 billion is to be attached in satisfaction of the judgment of the Federal High Court sitting in Kano.

The order also includes a cost of N2 million for the Garnishees proceeding, with the Garnishees ordered to appear before the court to show cause, if any, why the order Nisi should not be made absolute against them. Justice Ekwo stated, “Judgment creditors are to serve the defendants and Garnishees at least 14 days before the next date of hearing.”

However, the court has adjourned the case to allow the garnishees an opportunity to present their case. The hearing is scheduled for 18th January 2024.

The 24 frozen accounts span across various banks, including the Central Bank of Nigeria (CBN). It is noteworthy that the Incorporated Trustees of Masalachi Eid Shop Owners and Traders Association had previously taken legal action against the state government, resulting in a Federal High Court in Kano ruling in favor of the shop owners and directing the government to pay a compensation of N30 billion to the affected parties.

Tags: AbujacbnFEDERAL HIGH COURTKANO STATE
ONUAH YVONNE

ONUAH YVONNE

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