BERNARD OKOEBOR V. POLICE COUNCIL & ORS
June 16, 2025WAMADI N. EJILEMELE V BELEME H. E. OPARA
June 16, 2025Legalpedia Citation: (2003) Legalpedia (SC) 27721
In the Supreme Court of Nigeria
Fri May 2, 2003
Suit Number: SC. 186/2000
CORAM
AUGUSTINE NNAMANI, JUSTICE SUPREME COURT
PARTIES
TRADE BANK PLC APPELLANT(S) / PLAINTIFF(S)
RESPONDENTS
AREA(S) OF LAW
SUMMARY OF FACTS
The appellant who was instructed to pay the sum of N 1,000,000.00 to the respondent mistakenly paid the sum to a stranger. Upon complaint, the appellant accepted responsibility and pleaded for more time within which to rectify the situation. Having waited for long without being paid, the respondent filed an action in the High Court, whose jurisdiction the appellant questioned.
HELD
The Supreme Court held that the claim was grounded on the tort of conversion which is within the jurisdiction of the State High Court.
ISSUES
Whether the High Court of Lagos State is vested with jurisdiction to hear and determine the Plaintiff’s claim.?
RATIONES DECIDENDI
JURISDICTION OF THE FEDERAL HIGH COURT IN BANKING MATTERS
Section 230(1)(d) of the 1979 Constitution as amended by the Constitution (Suspension and Modification) Decree No. 107 of 1993 vests exclusive original jurisdiction on the Federal High Court “in respect of banking, banks, other financial institution including any action between one bank and other, any action by or against the Central Bank of Nigeria arising from banking, foreign exchange, coinage legal tender, bills of exchange, letter of credit, promissory note and other fiscal measures.” The provision can only be invoked on banking transactions in respect of banks inter se including the Central Bank. Per Uthman Mohammed, JSC
JURISDICTION OF THE STATE HIGH COURT IN BANKING MATTERS
Now, it is settled law by a long string of authorities that bankers who collect cheques and pay them to those not entitled to the proceeds in the cheques are guilty of the tort of conversion. Per Uthman Mohammed, JSC
CASES CITED
1. A.L. Underwood Limited V. Bank of Liverpool and Martins (1924) 1 K.B. 772. Kleinwort V. Comptoir National d’ Escompte de Paris (1984) 2 Q.B. 1673. Bute (Marquess) V. Barclays Bank (1955) 1 Q.B. 2024. 7Up Bottling Company Limited & Ors. V. Abiola and Sons Bottling Company Limited (2001) FWLR (Pt 70) at page 1650; (2001) 8 SCM 1?
STATUTES REFERRED TO
1. 1979 Constitution as amended by the Constitution (Suspension and Modification) Decree No. 107 of 19932. Bills of Exchange Act, Cap 35, Laws of the Federation of Nigeria, 1990
