CBN contests order to pay N2.5bn to 110 Sacked ABU staff

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The Central Bank of Nigeria (CBN), on Tuesday before the National Industrial Court, contested the court’s order to pay 110 disengaged staff of the Ahmadu Bello University (ABU), Zaria, that were sacked in 1996 their entitlements.

Joined in the suit as respondents are the 110 disengaged staff, ABU, Zaria, the Minister, Federal Ministry of Education and the Attorney General of the Federation and Minister of Justice, as first, second, third, and fourth respondents respectively.

CBN to PAY N2.5bn to 110 Sacked ABU staff

When the matter was called before Justice Rakiya Hasstrup, counsel to CBN, Matthias Agboni informed the court that he had an application for stay of execution before the court.

He, however, proceeded to withdraw an earlier motion dated and filed on March 8 and replaced it with another on April 14.

READ ALSO: Court orders CBN to pay 110 sacked ABU staff N2.5 billion

Mr. Femi Adedeji, counsel to the first respondent on his part informed the court that he was not opposing the withdrawal.

Adedeji, however, stated that he was opposing the written address that accompanied the new application.

Also, Mr. Kashim Idi, counsel to the third respondent equally did not oppose Agboni’s application for withdrawal.

He further said that he had not filed any process because he had just been served processes by Adedeji.

The judge, therefore, said that the CBN’s application dated March 8 was duly struck out and directed Adedeji to respond to the new application he was opposing and serve parties.

Adedeji, however, objected and said that the appellant was trying to delay the proceeding by frustrating and wasting the time of the court

In addition, he said he was ready to respond to the appellant’s application on Point of Law.

Agboni then proceeded to take his application dated and filed on April 14 brought pursuant to order 64, rules 8 and 13 of the NICN Civil Procedure of 2017.

The applications prayed for three orders of the court. The first prayer was for an order of stay of execution of the earlier judgment of the court delivered on Jan. 27, spending the hearing and determination of the appeal.

Recall that the Abuja division of the National Industrial Court had in January this year ordered the Central Bank of Nigeria (CBN), to pay 110 staff of the Ahmadu Bello University, Zaria, that were sacked in 1996 their entitlements in the sum of N2.5 billion.

Justice Rakiya Haastrup who made the ruling pronounced as absolute an order nisi earlier made upon CBN. This means that funds standing to the credit of the Institution domiciled with the garnishee (CBN) should be used to pay the judgment debt.

The judge held that the consent of the Attorney-General of the Federation is not to be sought before the payment would be made because the AGF is a party in the suit.

The 110 staff had instituted the suit against ABU, the Attorney-General, and others following the failure of the institution to implement the recommendations of various panels which recommended the reinstatement of the staff with payment of their entitlements.

They, therefore, sought “An Order directing the defendants to reinstate the plaintiffs forthwith and pay them all their outstanding salaries and allowances since their appointments were illegally determined.”

On November 30, 2015, the court ruled in favor of the 110 staff and ordered ABU to reinstate them and also pay them their entitlement.

On November 7, 2016, the court ruled that the institution should pay the sacked staff a computed sum of N2.5 billion and a 10 percent per annum interest on the judgment sum.

The failure of ABU to comply with the order of the court, made the sacked staff institute a garnishee proceeding in 2017 in order to enforce the monetary judgment.

A garnishee proceeding is a judicial process of executing or enforcing monetary judgment whereby money belonging to a judgment debtor, in the hands or possession of a judgment known as the ‘Garnishee’ (usually a bank), is attached or seized by a judgment creditor in satisfaction of a judgment sum.


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Chila Andrew Aondofa

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