CBN, 14 Bankers React To N1bn Imo Judgement Debt

The Central Bank of Nigeria (CBN) and 14 other banks out of the 17 ordered by an FCT High Court to show cause why plea for garnishee of accounts operated by Imo State Government should not be made absolute, had denied overseeing the state’s accounts.
The denials were contained in the respondents briefs filed by the concerned banks and made available to newsmen yesterday in Abuja, by Mr Anthony Agbonlahor, Counsel for the Judgment Creditors.
Our correspondent reports that a garnishee order is a common form of enforcing a judgment debt against a debtor to recover money.
The court enforces the payment of such debt through a third party who holds funds belonging to the judgment debtor.
The judgment creditors, E.F. Network Nig Ltd and Mr Gideon Egbuchulam on April 17 approached the court with an exparte motion praying it to compel 17 banks allegedly overseeing Imo government accounts to effect the payment.
Justice Bello Kawu, went ahead to grant the prayer by directing the listed banks to show caused why the order should not made absolute.
The banks were: Central Bank of Nigeria (CBN), Access Bank Plc, Zenith Bank Plc, Jaiz Bank, Union Bank Plc, United Bank for Africa (UBA), First Bank Plc, Ecobank Plc, Keystone Bank Plc, and Diamond Bank Plc.
The rest were: Fidelity Bank Plc, Polaris Bank Plc, GTBank Plc, Stanbic IBTC Bank Plc, Unity Bank Plc, Heritage Bank Plc, and FCMB Bank Plc.
The Supreme Court had on March affirmed the judgment of the Court of Appeal Owerri which ordered the state defendants to pay the N1 billion contract debt owed the judgment creditors.
The apex court held that the appeal filed by the Imo state government and Gov. RochasOkorocha challenging the judgment of the lower court was not meritorious.