Olatayo Aribo V. Central Bank Of Nigeria & Anor. (2010)

LawGlobal-Hub Lead Judgment Report – COURT OF APPEAL

REGINA OBIAGELI NWODO, J.C.A: (Delivering the Leading Judgment)

This is an appeal against the Judgment of the Federal High Court, Lagos Judicial Division delivered on the 14th of July, 2008 dismissing the claim of the Plaintiff.

The Plaintiff in the court below now the Appellant commenced an action by originating summons filed on 31/3/2008 in the Federal High Court wherein he claimed the following reliefs:

‘1. A mandatory order directing the Defendants particularly the 2nd Defendant to de-blacklist the Plaintiff and delete the name of the Plaintiff from the list of blacklisted persons.

2. An order directing the Defendant particularly the 2nd Defendant to comply with the declaration of Hon. Justice D. D. Abutu in the Judgment delivered on 11th April, 2005.
3. An order directing the Defendant particularly the 2nd Defendant to notify the Plaintiff in writing removal of his name from blacklisted list.
4. An order for payment of exemplary and aggravated damages in the sum of N40,000,000:00 (Forty Million Naira) by the Defendants to the Plaintiff for loss of employment and earnings from 2005 to day of Judgment in the suit.
5. The cost of this suit’.

In the same summons the following questions were raised for determination:

‘1. Whether the Defendants could blacklist the Plaintiff under S.44(2) of BOFID?

2. Whether the act of blacklisting of the Plaintiff by the 2nd Defendant’s letter of 19th September, 2005 is not a violation and act of disrespect to the Judgment of Abutu J. delivered on 11th April, 2005?
3. Whether the Defendants ought to be compelled to delete the name of the plaintiff from its list of blacklisted persons?
4. Whether the act of the Defendants has unlawfully deprived the Plaintiff of securing gainful employment and loss of earnings?
5. Whether Plaintiff is entitled to damages claimed?’

In support of the summons is a 26 paragraph affidavit deposed to by the Plaintiff. The respondent in response filed a counter-affidavit of 10 paragraphs on 7/05/08 deposed to by Mrs. Ekundayo Olutoye.

The learned counsels representing the parties addressed the court on the summons. The Learned trial Judge in a considered Judgment held:

‘It is not in dispute that the Plaintiff herein and its erstwhile employer, Equity Bank of Nigeria limited were involved in illegal foreign exchange transactions for which the Central Bank of Nigeria can impose sanctions. Equity Bank of Nigeria Limited (Plaintiff’s erstwhile employer) was penalized in the whooping sum of N293,129 Million and its dealership licence suspended indefinitely. It is my humble view that the Plaintiff’s involvement in the illegal foreign exchange is serious misconduct in relation to his duties while in the services of Equity Bank of Nigeria Ltd.

It is also my view that the condonation of the Plaintiff’s serious misconduct in the illegal foreign exchange transactions by a fellow culprit is no bar to the Central Bank of Nigeria exercising its power to sanction the Plaintiff The Defendants are therefore within their statutory powers under Section 44(2)(d) of the Banks and other Financial Institutions Act 1991 (as amended) to blacklist the Plaintiff as done in Exhibit ‘DM3′ in this suit.

Each of the questions for determination is resolved against the Plaintiff. The Plaintiff’s claim fails in its entirety, and same is dismissed. No order as to costs’.

Dissatisfied with the above decision of court below, the Appellant filed a Notice of Appeal on 20/8/2008 containing 4 grounds of Appeal. The learned counsel in accordance with the Rules of this court filed and exchanged written Briefs of the parties.

Mr. A. M. Makinde, the learned counsel for the Appellant at the hearing of the Appeal on 12/1/10 adopted the Appellants Brief dated 22nd October, 2008 filed on 24th October, 2008 and with the leave of court he cited the following additional authorities: SPDC v. Olarewaju (2008) 12 SC (pt.3) at pg 27, Olatunbusu v. Nisi (1988) 1 NSCC pg 1025, Olarewaju v. Afribank (2001) 7 SC (pt.3) at pg.1. He urged the court to allow the Appeal. Whilst the Learned counsel to the Respondent, Chief Tunde Olojo adopted the Respondents Brief dated and filed on 24th March, 2009 and urged the court to dismiss the appeal.

The Appellant, a former staff of Equity Bank of Nigeria Plc instituted suit No. FHC/L/CS/163/2003 against his former employer and the 1st Respondent seeking declaratory reliefs that the termination of his appointment was null and void having resigned his appointment. He also sought a Declaration against the 1st Respondent that he cannot be blacklisted by them having not breached any provisions of the Banking and Financial Institution Decree. The Appellant was the Divisional Head of Foreign Exchange in his former Bank – Equity Bank of Nigeria Plc When the Bank’s banking licence on foreign exchange was withdrawn by the 1st Respondent because of foreign transaction problem, the Bank was fined. The 1st Respondent set up, the Special Board Committee which produced a final report. Thereafter Appellant filed the suit in the Federal High Court No.FHC/LICS/63/2003 seeking the reliefs earlier set out in this Judgment. Judgment was delivered in that suit wherein Abutu J. on 11/04/2005 held as reproduced hereunder: