Imisi Awolona V. Nigerian Deposit Insurance Corporation (2007)

LawGlobal-Hub Lead Judgment Report

ALFRED P. E. AWALA, J.C.A.

This is an appeal against the Ruling of Yahaya J of the Federal High Court, Ibadan Division delivered on 23/7/02 in Suit No.FHC/IB/CS/149/2001. The Appellant, who was Plaintiff at the lower court, claimed against the Respondent, the Defendant thereat by originating summons the following reliefs:

1. “Declaration that upon the issuance of liquidator’s certificate (creditors) by the defendant to the plaintiff the defendant had accepted responsibility for the judgment debt of the liquidated Allied Bank Plc.
2. An order directing the defendant to pay forthwith to the plaintiff the sum of One Million and Seven Thousand Two hundred and Seventy Six Naira Thirty Six kobo (1,007,276.36k) and 5% thereon from 15/5/96 until the total debt is liquidated with 10,000.00 awarded as costs in suit No. 1/135/97.
3. AND FURTHER ORDER(S) as the Honourable Court may deem fit to make in the circumstances.

For an apt comprehension of this appeal, I will tell the story as told at the lower court.

The Appellant sued Allied Bank of Nigeria Plc (now in liquidation and currently being managed by the Respondent) to the High Court of Justice of Oyo State, holding at Ibadan, to recover the outstanding balances in his two accounts totaling N1,007,276.36k on 5/5/97 and he won but the judgment was not executed. In 1998, the Central Bank of Nigeria revoked the license of the Allied Bank of Nigeria Plc and by the instrument of Revocation vested its management on the Respondent.

The Appellant, subsequently in 2001 filed an action with suit number as aforesaid at the lower court, the Federal High Court, Ibadan Division against the Respondent as liquidator by way of an originating summons dated 7/11/01 for the court’s determination of the following questions:-

(1) Whether upon the liquidation of Allied Bank Plc the Defendant/Respondent inherits its assets and liabilities?

(2) Whether in answering question No 1 in affirmative, the judgment in Suit No. 1/135/97 between the plaintiff herein and Allied Bank Plc is binding on the Defendant?

(3) Whether upon the issuance of liquidator’s certificate (creditors) by the defendant, the plaintiff is not entitled to the payment of the judgment debt forthwith?

The Respondent, in opposition, filed an application dated 26/2/02 for an order of the said lower court dismissing the suit on the ground that the court lacks jurisdiction to adjudicate on the matter as the same is concluded by res judicata.

Upon hearing the application filed by the Respondent on 19/6/02 the Appellant’s suit was dismissed on the ground that the action was a relitigation of Suit No. I/135/97 which is still valid and is substituting thus upholding the plea of res judicata raised by the Respondent.

Aggrieved, the Appellant appeal to this court by a Notice of Appeal dated 18/10/02 formulating two grounds. In accordance with the rules of this court, parties’ Counsel filed and exchanged their respective Briefs of Argument: Appellant’s and Respondent’s Briefs. No Reply Brief was filed.

In the Appellant’s brief two issues are couched for determination as follows:-

(1) Whether the trial court was right to have upheld the plea of Res judicata raised by the Responded bearing in mind the difference of parties involved in Suit No. 1/135/97 and FHC/IB/CS/149/2001, subject matter and reliefs claimed in the two cases.

(2) Whether the lower court lacks jurisdiction to entertain the claim as constituted in the originating summons of the Appellant.