AFRICAN CONTINENTAL BANK LTD. V. A.G. OF N. NIG.

• Pages: 66-70

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NIGERIAN SUPREME COURT CASES

[1967] N.S.C.C.

say that the requirements of natural justice were sufficiently observed on the facts

and the circumstances?

We are of the opinion that this appeal should be allowed and that the proceed-

ings before the Police Service Commission be invalidated. We therefore set aside

the judgment dated 1st March, 1966 of the learned Chief Justice in Suit No.

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M/250/1965 dismissing the appellant's application for writ of

certiorari

to quash

the decision of the Police Service Commission contained in the letter dated 24th

November, 1965, and dismissing the appellant from the Service and we hereby

order that the writ should go and the aforesaid letter dismissing the appellant is

hereby declared inoperative, void and of no effect.

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Appellant is entitled to costs which are assessed at 50 guineas.

Appeal allowed. Order of

Certorari granted.

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AFRICAN CONTINENTAL BANK LTD. V. A.G. OF

N. NIG.

AFRICAN CONTINENTAL BANK LTD.

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APPELLANT

V.

ATTORNEY GENERAL

OF NORTHERN NIGERIA

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RESPONDENT

SUIT NO. SC 360/1966

SUPREME COURT OF NIGERIA

ADEMOLA,

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C.J.N.

BRETT,

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J.S.C.

COKER,

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J.S.C.

9th March, 1967

Tort - Negligence action against bank for negligence - Banking - Customer

operating account in fictitious name - Banker in good faith receiving payment

on behalf of cheques fraudulently obtained - Drawer of cheques suing bank

for negligence - Duty of care; concept - Bills of Exchange Act (Cap. 21),

Section 82; (Bills of Exchange Act, 1964 Section 2) - distinction between

negligence as ground of action and as special defence under section 82 above

to action for conversion.

ISSUES:

1.

Whether a bank is liable to the time owner of cheques fraudulently paid into an

account opened in a fictitious name, in an action founded on negligence.

2.

Whether s.82 of the Bills of Exchange Act is applicable to an action against a

bank for damages - for negligence.

FACTS:

The Respondent instituted an action against the Appellant claiming £9,702 13

8d as damages suffered by the Government of Northern Nigeria as a result of the

negligence of the Appellant Bank.

The negligence pleaded was that the Bank allowed one Johnson Ogu to open

an account in the name of P.N. Oku, knowing this to be a fictitious name.

Ogu had paid several Government Cheques fraudulently into the account, and

made constant withdrawings therefrom.

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