COURT ORDERS CBN TO PAY DISMISSED ABU WORKERS ₦2.5BN
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By: Muftau Fatimo
The Court of Appeal in Abuja has warned that it may sanction the Central Bank of Nigeria if it further delays the payment of a ₦2.5bn judgment debt owed to 110 workers who were unlawfully dismissed by Ahmadu Bello University (ABU), Zaria, in 1996.
The warning came on Friday after the court rejected fresh attempts by both the CBN and ABU to halt the ₦2.5bn payment.
In two unanimous rulings delivered by separate three-judge panels, the appellate court ordered the CBN to immediately release the ₦2.5bn, which ABU had lodged with the bank, for payment to the affected workers.
In the lead judgment, Justice Okon Abang dismissed the CBN’s claim that the former ABU staff—who had been ordered reinstated by the National Industrial Court—could not initiate garnishee proceedings against the bank to recover the judgment sum.
The court also rejected the claim that the consent of the Attorney General of the Federation and Minister of Justice must first be obtained before the payment could be effected.
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The CBN and ABU had separately appealed against the judgment of the National Industrial Court, which ordered the university to pay the entitlements of the 110 workers after finding that they were unlawfully laid off by the sole administrator of the institution, Gen Mamman Kontagora (rtd), in 1996.
Both appellants also faulted the garnishee proceedings initiated by the workers to enforce the judgment.
The Court of Appeal dismissed the two appeals for lacking merit.
Justice Rakiya Haastrup of the National Industrial Court had on January 27, 2022, issued a garnishee order absolute, directing the CBN to pay the judgment sum to the workers from ABU’s funds.
Justice Abang held that the workers were right to initiate garnishee proceedings against the CBN to enforce payment of their entitlements.
The appellate court also condemned the CBN for spending public funds on legal actions intended to obstruct the payment of the judgment debt.
The court described the apex bank’s conduct in opposing the payment as reckless and reprehensible, especially given that ABU had already deposited the funds with the bank for settlement.
“In this case, it is not the role of the CBN to act as an advocate, but rather to execute the court judgment awarding the money to the workers in the absence of any contrary order.
“It is equally unethical for the CBN’s legal counsel to have aided the bank in frustrating the Industrial Court’s judgment. Unfortunately, the actions of the CBN have only prolonged the suffering and hardships of the affected workers,” the court stated.
“The lawyer should have advised the CBN not to act as an advocate, regardless of how attractive the CBN brief was. The bank’s actions reflect cowardice, taking the matter personally against workers who have been suffering since 2013.
“There was no lawful basis for the CBN to appeal the Industrial Court’s judgment, as the workers had not made any claims against the bank.
“The lawyer has a duty to the court, the nation, and the 110 workers to ensure they are not unjustly punished or denied the benefits of their court victory. If the CBN ignored his advice, he should have withdrawn his services. Instead, they ended up wasting the valuable time of this Court.
“How can the CBN seek to vacate an order that was never made against it, while holding the workers’ funds since 2018? This situation cannot continue. There must be an end. The workers deserve the fruits of their labour,” the court said.
In addition to the ₦2.5bn judgment sum, the Court of Appeal also awarded ₦5m against the CBN and another ₦5m against ABU to be paid to the workers as legal costs.
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