Chief S. N. Muomah V. Enterprise Bank Limited (2015)

LawGlobal-Hub Lead Judgment Report – COURT OF APPEAL

YARGATA BYENCHIT NIMPAR, J.C.A. (Delivering the Leading Judgment)

This appeal is against the judgment of the Lagos High Court of Justice delivered by HON. JUSTICE R.I.B. ADENIYI on the 13th February, 2012. The appellant aggrieved with the judgment filed a Notice of Appeal setting out 4 grounds of appeal.

The brief facts of the claim giving rise to this appeal are that the appellant was the claimant at the lower court wherein it claimed as per his statement of claim as follows:

(i) The sum of N1,625,000.00 (One Million, Six Hundred and Twenty Five Thousand Naira) being the value of the bank cheque purchased by the claimant from the Defendant which the claimant never cashed.

(ii) The sum of N30,527.65 (Thirty Thousand, Five Hundred and Twenty Seven Naira, Sixty Five Kobo) being credit balance in the claimant account No. 202411 at the Defendant Bank Tin Can Island Branch, Apapa Lagos as at 31st December, 1995, which the defendant have failed/refused to allow the claimant to withdraw from.

(ii) Interest on the said sum at the rate of 25% per annum from 20th June, 1994 until the debt is fully liquidated.

The appellant claimed that he purchased a bankers cheque in the sum of N1,625,000.00 (One Million, Six Hundred and Twenty Five Thousand Naira) from the former African Continental Bank on the 20th June, 1994 which got lost and same was reported to defendant’s Festac Town Branch, that he was advised to wait for the 6months mandatory period and that the bank would block the cheque and place the value on a suspense account. Appellant alleged that after the 6months, he again requested the bank to credit his account with the value of the cheque but as he was waiting for it the bank closed shop only to reopen in 2002.

The appellant wrote formerly making demands for the crediting of his account with the value of the cheque. That the Respondent invited the appellant for reconciliation and verification and was issued a form with a credit balance of N30,527.65 (Thirty Thousand, Five Hundred and Twenty Seven Naira, Sixty Five Kobo) as his balance. That he made a demand for the value of the bankers cheque, that was when the Respondent claimed that the cheque had been given value to a 3rd party but declined to give the name of the clearing bank and payee. He later reported the issue to the Police.

That the Respondent admitted before the Police that the cheque had not been given value and the Respondent requested for some documents such as Police extract to enable them pay. The documents were given but still the Respondent refused to make good the value of the cheque thus the claim. The claimant called 2 witnesses while the Respondent did not call any witness, the trial court dismissed the claim thus this appeal.

The appellant filed his brief on 18/6/12 wherein 2 issues for determination were distilled.

The Respondent filed his brief on 11/4/13 and he adopted the two issues formulated by the appellant.

The issues for determination states thus:

(i) Whether the learned trial Judge was right in dismissing the second claim of the claimant which is the N30,527.65 (Thirty Thousand, Five Hundred and Twenty Seven Naira, Sixty Five Kobo) being the credit balance in his account with the respondent bank which was admitted by the Respondent in paragraphs 15 of the Amended Statement of defence.

(ii) Whether the oral report made by the claimant and the 2nd claimant witness of the loss of the cheque to the Respondent is a valid report for the Respondent to re credit the account of the claimant with the value of the missing cheque.