First Bank PLC has been ordered to pay the sum of N5m damages to a Couple, Chief and Mrs. Jerry Ugwu for freezing their account unlawfully.
The judgment was delivered by Justice V.C Ajogwu of the Enugu High Court on December, 9 2021.
The plaintiffs Chief Jerry Ugwu and his wife Cornelia Sandra Ugwu had filed a Writ of Summons through their counsel C.D Ezeh (Esq) Against Mr. Egbo Sydney, First Bank Plc and Guaranty Trust bank plc.
The bank was accused in Suit No: E/579/2018 of freezing or placing ‘post no debit’ instructions on the 1st plaintiff’s bank account No: 3030903024 domiciled with First Bank Plc.
In the judgment, which lasted over an hour, the Court held that the 2nd defendant First Bank PLC, “breached the fiduciary trust of banker customer relationship with the 1st plaintiff when they placed a lien or freeze’ on the bank account of their customer without a verified court order and allowed same to exist for months without doing the needful act.
Justice Ajogwu, therefore ordered that the post no debit instruction on the 1st defendant’s account number: 3030903024 was unlawful and amounts to breach of trust.
“A declaration that the failure of First Bank Plc to give the 1st plaintiff cogent reasons for the post no debit instructions on his account was unlawful and amount to breach of fiduciary trust.”
The Court equally made a declaration that first bank plc being the banker of the 1st plaintiff is duty bound to keep the 1st plaintiff informed of the goings on in his account and reasons for any contrary decision.
It further made an order directing first bank plc to de-freeze with immediate effect the post no debit instructions placed on the 1st plaintiffs bank account.
The Court equally issued an order of perpetual injunction restraining first bank plc, it’s agents or surrogates from putting further restrictions or freezing in the 1st plaintiffs bank account number 3030903024.
It also pronounced a general damages of Five Million Naira only to the plaintiffs.
