A Federal High Court in Abuja granted an absolute garnishee order on Monday, ordering the Central Bank of Nigeria to release the sum of N81.9 billion in the custody of the Nigerian National Petroleum Corporation and its joint venture partner, Mobil Producing Nigeria Unlimited (NNPC), to oil-producing communities in Akwa Ibom state’s Ibeno Local Government Area.
The order was issued by Justice Taiwo Oladipupo Taiwo in a judgment in a suit brought by aggrieved oil communities ravaged by oil spillage.
The Ibeno communities, led by Obong Effiong Archianga and nine others, filed a lawsuit against NNPC, Mobil Producing Nigeria Unlimited, and ExxonMobil Corporation, seeking approximately N100 billion in compensation for economic losses caused by oil spillages caused by the defendants during exploration.
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The oil communities had gone to court to seek redress for oil spillage in the area, which they claimed had harmed the environment in their communities.
As a result, on June 21, 2021, Justice Taiwo issued an order awarding the plaintiffs, who are now judgment creditors, the cost of N81.9 billion.
The court ordered that the money be paid within 14 days, after which 8 percent interest would be charged on the principal amount annually.
In a garnishee proceeding on December 15, 2021, the apex bank insisted on obtaining the consent of the Attorney General of the Federation before enforcing the garnishee judgment.
However, in a ruling issued on Monday, Justice Taiwo dismissed the CBN’s claim and ordered it to release funds belonging to NNPC and Mobil totaling N82 billion to the judgment creditor.
The court ruled that the apex bank’s assertion that it must obtain AGF consent before attaching the judgment debt was incorrect, because the apex bank is not a public officer.
“The application for an order nisi made absolute against the apex bank on January 6, 2022,” Justice Taiwo ordered.
Previously, the court denied an application to challenge the service of a garnishee order nisi on the judgment debtor.”
The judgment debtor’s name had changed due to the implementation of the Petroleum Industry Act, according to Justice Taiwo.
The court, however, stated that the CEO, Directors, and employees of NNPC are still those of NNPC Ltd and that NNPC Ltd inherited the assets and liabilities of NNPC.
“As a result, the suit identity of the judgment debtor is known, and the misnomer will be corrected because it is a name mistake.”
“The judgment debtor is a juristic person, and the applicant has not suffered any injustice as a result of the mistake in the applicant’s name.”
The applicant’s counsel’s stance is colorful and technical. If the name is misspelled, the Court has the authority to grant a name change suo moto.
“When a misunderstanding occurs, it does not taint the subject matter of the case.”
The purpose of the court is to make findings and administer justice, not to punish a litigant for a misunderstanding.
The court also stated that the judgment creditor may file claims against the judgment debtor “jointly and severally.”
“I find merit in the judgment creditor’s address, particularly paragraphs 4.14 to 4.18 of his address,” the court said.
The application of the judgment debtor, dated 24 December 2021, is hereby refused.
