Mr. Sidiku Ajala Suberu V. Atiba Iyalamu Savings Loans Ltd. & Anor (2007)

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MUNTAKA-COOMASSIE, J.C.A.

This is an appeal against the judgment of the High Court of Kwara State of Nigeria holden at Ilorin coram, Bamigbola J. delivered on 03/03/06 wherein judgment is entered in favour of the defendant and dismissed the plaintiff’s suit (save on the plaintiff’s claim that the notice of auction of his mortgaged property is wrongful). The trial court also granted the 1st respondent’s counter-claim.

The facts leading to this action are briefly thus:-

The appellant, who was the plaintiff before the lower court took a loan facility from the 1st respondent, herein in the sum of N600, 000.00. Before the loan was granted the 1st defendant wrote a letter to the plaintiff/appellant that reads thus:

“10th September, 1996.

S. A. Suberu,

Amusement Guest House,

Adamu Road,

Ilorin – Kwara State.

Dear Sir,

LETTER OF OFFER N0.4013020203

We are happy to inform you that a mortgage loan of N600, 000.00 (Six hundred thousand naira only) repayable within 12 (twelve) months at 3% per month has been granted to you. Thus the loan is approved subject to the under listed conditions.

(1) Your understanding that the loan is required to be spent to renovate your Hotel (Amusement Guest House).

(2) Your understanding that the loan will be secured with legal mortgage on your Hotel as per Deed of mortgage executed by you.