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Wednesday, 22 May 2019

Judgement Debt: Court Declines GTB Motion Against Innoson

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The lingering dispute between the Innoson Vehicle Manufacturing (IVM) and the Guaranty Trust Bank (GTB) deepened on Wednesday as the Awka Division of the Federal High Court presided over by Justice I. B. Gafai who refused to grant the bank’s prayers seeking a stay or suspension of the execution of judgement debt embarked on recently by the IVM.

The bank had demanded that the court should set aside its orders of  March 27, 2019, which granted Innoson leave to enforce the judgment, issue processes for enforcing the judgment and levying execution- the Writ of Fifa against Guaranty Trust Bank.

The court had granted leave to Innoson Nigeria Ltd to enforce and execute the judgment and Garnishee Order Absolute made by the Ibadan Judicial Division of the Federal High Court on the 18th of May 2010 and the 29th of July 2011 respectively.

The order was concurrently affirmed by the Court of Appeal in the judgment of 6th February 2014 and by the Supreme Court in its judgment of 27th February 2019.

However, as Innoson Nigeria Limited commenced the execution, GTB approached the court vide its motion on notice seeking orders staying or suspending the execution embarked by Innoson and also seeking orders setting aside the exparte orders made by the Court granting Innoson leave to enforce the judgment and to issue the processes of executing same.

Delivering the court’s ruling on the matter, Justice Gafai held that the order the court made on March 27th, 2019 in favor of Innoson granting it leave to enforce the judgment and issue processes of execution of the judgment are valid; and also that all the steps taken to levy executions in pursuance of that order are still valid and are not vacated; whilst all the prayers by GTB in its motion of 1st April 2019 are not granted.

The court stayed further proceedings relating to contempt against GTB, its MD - Segun Agbaje; Chairman, Mrs. Osaretin Demuren, and Secretary, Mr. Erhi Obebeduo, to enable the Supreme Court hear GTB’s newly filed motion at the apex court  in respect of the matter.

Subsequently, the matter was adjourned to  October 17, 2019, for hearing of the pending applications - the contempt application.

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