Ajaokuta Steel Company Limited V. Greenbay Investment & Securities Limited (2019)

LAWGLOBAL HUB Lead Judgment Report

MUSA DATTIJO MUHAMMAD, J.S.C.

This is an appeal against the judgment of the Court of Appeal, Abuja Division, hereinafter referred to as the lower Court, in appeal No.CA/A/718/2016 delivered on 18th December 2017, setting aside the ruling of the Federal High Court, the trial Court, in suit No. FHC/ABJ/M/03/2007 delivered on the 18th November, 2016.

By the said ruling, the trial Court had discharged the 3rd and 4th respondents as garnishees, set aside the decree Nisi it earlier granted and dismissed the entire garnishee proceedings initiated by the 1st respondent.

Aggrieved, the 1st respondent appealed against the trial Court’s ruling to the lower Court. The lower Court allowed the appeal, set-aside the ruling of the trial Court and remitted the matter to the latter to hear 1st respondent’s garnishee proceedings and determine whether or not the order Nisi be made absolute.

Dissatisfied, the appellant has appealed against the lower Court’s decision to this Court on a notice filed on 16th March, 2018 containing two grounds. The facts relevant to the appeal are as stated below;

PAGE 1

On the 3rd day of May 2001, the trial Court sitting in Lagos, Sanyaolu J., presiding, concluded its judgment in Suit No. FHC/L/CS/1223/99: GREENBAY INVESTMENT & SECURITIES LTD., VS AJAOKUTA STEEL COMPANY AND SEVEN OTHERS, in favour of the 1st respondent, the plaintiff, against the appellant, the 2nd respondent thereat thus:-

“In the circumstances therefore I hold that the plaintiff is entitled to judgment and I hereby enter judgment in favour of the plaintiff against the 2nd Defendant as follows: –

(i) The sum of USD 1,672,351.50 or its equivalent in Naira at the prevailing Central Bank of Nigeria Exchange Rate on 23/2/94 being that (sic) date of actual delivery and supply of 667.591 Chrome Magnesite Bricks by the plaintiff to the 2nd Defendant as shown in Exhibit C

AND

(ii) 21% interest accruing on the said sum from the 24th day of April 1994 till date or the date of payment of the debt whichever is earlier.”

Consequent upon the foregoing, the 1st respondent on the 10th October 2006 received through his agent the sum of one hundred and forty-two million naira (N142,000,000.00k) in Bond Security.

PAGE 2

To realize the balance of the judgment sum and interest thereon put at US $17,187,511.89, from the appellant, the 1st respondent commenced garnishee proceedings in suit No. FHC/ABJ/M/03/07 at the trial Court sitting at Abuja and presided by Okon Abang J.