Central Bank of Nigeria V. System Application Products Nigeria Limited (2004)

LawGlobal-Hub Lead Judgment Report

T. MUHAMMAD, J.C.A.

This appeal emanated from the decision of the Federal High Court Abuja (lower court), in which the court in its ruling of 25th February, 2002, dismissed the appellant’s application which challenged its jurisdiction to hear and determine the respondent’s suit. The background facts of this appeal are, briefly put, as follows: The respondent herein, as plaintiff, instituted action by originating summons before the lower court seeking for the following orders:

“(i) An order granting SAP leave to apply for an order of mandamus compelling the Central Bank of Nigeria – “CBN” – to complete the evaluation of the bidding process in respect IFB No. CBN/EAGLES/IFB/001-

“Invitation for bids for the supply and implementation of Enterprise Resource Planning System” -for which the plaintiff/applicant herein was a bidder by publicly declaring the results of the evaluation of the bidding process for:

(a) The technical evaluation of the bids submitted by the bidders;

(b) The evaluation of the financial offers of all the bidders.

Stating clearly the basis therefore in accordance with the merit point system stipulated in clause 257(e) of the invitation for bids to which all parties to the bid including CBN subscribed to prior to the submission of bids and are bound by.

(ii) An order granting the plaintiff leave to issue and serve the application for mandamus and other originating processes filed herein on the defendant at Abuja, Nigeria by substituted means through one insertion each in three (3) National Daily Newspapers in circulation in Nigeria.

(iii) An order that the grant of leave herein shall operate as a stay of any action or further action by the CBN in respect of:

(a) The annulment, closure of, and/or cancellation of the above bid process without completing it publicly by stating the results of the technical and financial evaluation of the bids in accordance with the terms of the invitation to bid

(b) The commencement of a fresh/new “bid process” by the issuance of fresh/new invitations for commercial bids in any guise howsoever from the parties to the uncompleted bids for either the whole or any component part of the above contract.

All pending the hearing and determination of the substantive application/motion on notice filed in this cause.

(iv) Specifically, an order of interim injunction restraining the CBN from giving any effect to the “annulment/closure/cancellation” of the above bid process by continuing with any “fresh/new invitations for bids” from any of the parties to the uncompleted bid for either the whole or any component part of the above contract pending the hearing and determination of the substantive application/motion on notice filed in this cause.”

The application for mandamus was supported by various affidavits, including exhibits. One of such exhibits is the invitation to bid which spelt out the regulations of the bid. Among the grounds upon which the case was instituted were that the appellant refused to declare the result of the bid and it wrote to the respondent to cancel same.