Court Of Appeal Orders Keystone Bank To Pay N20M Damages, N202.8M Fixed Deposit To Aggrieved Customer

The Court of Appeal in Abuja has dismissed the appeal by Keystone Bank Ltd seeking to overturn the judgement of a high court for the payment of the sum of N202.8 million fixed deposit to its customers: Agricultural Productivity Enhancement Ltd and Chief Ejiofor Ezekwe.

In a judgement on Friday delivered virtually, Justice Adamu Jauro dismissed the appeal for being unmeritorious and ordered the bank to comply with the directives of the lower court.

The appeal number CA/ABJ/CV/1369/2024 brought by Keystone’s counsel, Adegboyega Badebo Esq, had sought an order of the appellate court to set aside the judgement of the FCT High Court for the payment of the sum N202,890,426 being the principal withheld sum at an interest of 10 percent from the date of the judgment until it is liquidated.

In the judgment delivered in 2024 by Justice Josephine Obanor, the court further directed the bank to pay the sum of N20 million in general damages and the sum of N5 million as the cost of the litigation.

The case arose sometime on August 25, 2020 when Mr Ezekwe, acting on the resolution of the Agricultural Productivity Enhancement Ltd instructed the bank to fix the sum of N200 million for 30 days, which it carried out at an interest of N590,163.93.

Further, on September 24, 2020, Ezekwe, upon the instruction of the company, instructed the bank to create another deposit N200 million for 30 days, which it complied with but failed to make accessible to them “without any cogent explanation as to why it withheld the funds” till commencement of the action.

Consequently, Agricultural Productivity and Ezekwe filed the suit through their counsel, C.T. Chukwurah Esq under the Undefended List under Order 35 of the Federal Capital Territory High Court (Civil Procedure Rules) 2018 and the bank filed a Notice of Intention to Defend under Order 35 Rule 3 of the Rules of this Honourable Court dated 15th June, 2021.