CITY EXPRESS BANK LIMITED V. FORTUNE INTERNATIONAL BANK PLC. (2002)

CASE SUMMARY

Court of Appeal (Lagos Division)

Before Their Lordships:

  • G. Adesola Oguntade, JCA
  • Pius Olayiwola Aderemi, JCA
  • Christopher Mitchell Chukwuma-Eneh, JCA

Suit number: CA/L/82M/2002

Delivered on: 2002-07-22

Parties:

Appellants:

  • City Express Bank Limited
  • Mr. Henry Adawari Macpepple
  • Mr. Elfrida Macpepple
  • Mr. Emmanuel Macpepple

Respondents:

  • Central Bank of Nigeria
  • Fortune International Bank Plc
  • Suffolk Petroleum Services Ltd.

Background

This case revolves around an appeal concerning an ex-parte injunction issued by a trial court against City Express Bank Limited on 7th February 2002. Following this injunction, City Express Bank sought relief through the Court of Appeal, which initially granted a stay of the injunction on 7th March 2002. Subsequently, the respondents, led by Fortune International Bank Plc, filed an application to discharge the ex-parte injunction granted by the appellate court.

Issues

The central issue for determination was whether the affidavit evidence provided by the applicant could be accepted as true in the absence of any contradiction from the respondents. Specifically:

  1. Can uncontradicted affidavit evidence be deemed truthful by the court?
  2. What implications arise when one party fails to respond to allegations made against them in such proceedings?

Ratio Decidendi

The Court, led by Justice Oguntade, determined that when affidavit evidence is unchallenged, it should be accepted as factual. The absence of a counter-affidavit from the respondents substantiated the applicant's claims regarding misrepresentation of facts by the respondents during the initial ex-parte injunction request.

Court Findings

The court found several key points:

  1. Affidavit evidence not contradicted by another party can be accepted as true.
  2. The respondents failed to file a counter-affidavit despite being prompted to respond to the applicant's allegations.
  3. The evidence submitted by the applicant revealed that the respondents had misrepresented essential facts to the court to secure the initial ex-parte order.

This led to the surprising conclusion that the absence of a reactive counter from the respondents indicated acceptance of the truthfulness of the applicant's statements.

Conclusion

The Court allowed the application and set aside the ex-parte order granted on 7th March 2002. The ruling emphasized the necessity for all parties to provide responsive and truthful disclosures when involved in court proceedings.

Significance

This case is significant in clarifying the weight of affidavit evidence in court, particularly when it remains unchallenged. It underscores the responsibilities of parties in civil litigation to substantiate their claims or face the consequences of their omissions. Moreover, the case sets a precedent regarding the treatment of uncontradicted evidences in Nigerian jurisprudence.

Counsel:

  • Miss. Bola Ogunbambi - for the Applicant