Market News

 By : Ngozi Egenuka

A Federal High Court in Lagos has struck out a suit filed by Mr Kareem Kazeem Babatunde against the Central Bank of Nigeria (CBN), Guaranty Trust Bank and First Bank of Nigeria Plc, seeking a declaration that the CBN circular dated June 11, 2015, with Reference Number: BPS/DIR/GEN/CIR/02/004 as well as its guidelines on BVN Watch-listing dated October 18, 2017 with Reference Number: BPS/DIR/GEN/CIR/04/10 were unconstitutional, Illegal, unlawful, invalid, null and void.

Babtunde, through his counsel, Kingsley Ebimoh, had challenged the validity of freezing/ restricting his account by First Bank of Nigeria Plc and Guaranty Trust Bank, relying on the CBN circular dated June 11, 2015, without a valid court order.

The apex bank, represented by its lead counsel, Professor Fabian Ajogwu of Kenna Partners, had filed a preliminary objection challenging the court’s jurisdiction to entertain the suit.

Ajogwu, a senior advocate of Nigeria, had argued in his processes that the CBN circulars were issued in good faith in line with the provisions of the CBN Act 2007.

He also argued that CBN qualifies as a public officer under Nigerian law, and as such, Mr Kareem Babtunde’s action was statute-barred, as it was filed outside the three-month limitation period prescribed by the Public Officers Protection Act.

In his ruling, Justice Alexander Owoeye agreed with the submissions of Professor Ajogwu that the CBN is indeed a public officer and therefore enjoys the protection afforded under the Public Officers Protection Act.

The court ruled that the suit was statute-barred and accordingly struck it out.