N2.1bn debt: Court orders CBN to freeze account of Polaris Bank
A High Court sitting in Akure, Ondo State has granted a ganishee order directing the Central Bank of Nigeria(CBN) to freeze the account of Polaris Bank over a judgment debt of N2,162,561,509.84k .
A garnishee order is one of the options open to a judgment creditor to enforce a judgment that has been made in its favour.
The order was made by Justice Adegboyega Adebusoye in an application filed by Ondo Attorney General and Commissioner for Justice, Sir Charles Titiloye, for Ganishee order nisi attaching all the sums of indebtedness of Polaris Bank to Ondo state Government in a Judgement delivered in suit No AK/75/2017.
Titiloye had filed the application over alleged failure and neglect of the bank to meet the condition of the stay of execution of an earlier judgment.
In the judgement delivered in suit No AK/75/2017, Polaris Bank was held liable for mismanaging the account of Ondo ministry for local government and chieftaincy affairs.
The trial court, in its ruling, held that Polaris Bank made unlawful deductions from the government account and ordered a refund and payment of damages.
A stay of execution of its judgment was also granted pending appeal on the condition that the bank made payment of the judgement debt to an account held by the registrar of the court.
Following the failure and neglect of the bank to meet the condition of the stay of execution of the judgment, the judge granted leave to the state government to garnish the account of Polaris Bank with Central Bank of Nigeria (CBN) for the payment of the judgment sum.
Further hearing on the matter was adjourned to Monday, January 16, 2021.
