Court Orders Freezing Of Kano Govt Accounts Amid N30 Billion Compensation Dispute

A Federal High Court in Abuja has issued a garnishee order to freeze a minimum of 24 bank accounts linked to the Kano State government.

This action is in response to the compensation amounting to N30 billion granted to the Incorporated Trustees of Masalachi Eid Shop Owners and Traders Association. The compensation pertains to the demolition of their shops in the state.

Justice I. E. Ekwo granted the garnishee order in a lawsuit initiated by the affected shop owners and traders, who condemned the demolition of their shops as an unlawful act conducted by the state in June 2023.

The details of the order were outlined in a Certified True Copy (CTC) of the ruling delivered on 28th November, 2023. The document, signed by the Registrar, Chioma Chijioke, was made accessible to the media on Wednesday.

The order reads, “A garnishee order Nisi is hereby made attaching the funds (present and future) of Kano State Government, Kano State Urban Planning and Development Authority, KNUPDA and Attorney General of Kano State (including but limited to Kano State FAAC Account and Account No. 1019716320 at UBA and Account No. 1790249410 Polaris Bank) and other accounts in the custody of the respective Garnishees to the tune of N30 billion in satisfaction of the judgment of the Federal High Court sitting in Kano per S. A Amobeda, J. dated the 29th September, 2023 herein being enforced in favour of the judgment creditors.”

“Order is hereby made granting the sum of N2 million only being the cost of the Garnishees proceeding.

“The Garnishees herein are hereby ordered to appear before this court to show cause (if any) why the order Nisi should not be made absolute against them.

“Judgment creditors to serve the defendants and Garnishees at least 14 days before the next date of hearing,” the Judge, Justice Ekwo, said.

Nevertheless, the court has adjourned the case so that the garnishees can present their case on 18th January, 2024.

The 24 frozen accounts span across various banks, encompassing even the Central Bank of Nigeria (CBN).

It is worth recalling that the Incorporated Trustees of Masalachi Eid Shop Owners and Traders Association had previously taken legal action against the state government. The Federal High Court in Kano ruled in favour of the shop owners, directing the government to pay a compensation of N30 billion to the affected parties.