FCT High Court orders Globus Bank to pay N256m for breach of contract and unlawful deductions in favour of Haril Global Solutions

The High Court of the Federal Capital Territory sitting in Abuja has ordered Globus Bank Limited to pay a total of N256 million in damages to Haril Global Solutions Limited over breach of contract and alleged wrongful deductions.

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The court orders Globus Bank to pay N256 million ruling was delivered by Justice Christopher Oba, who found that a valid and binding contractual agreement existed between both parties under an overdraft facility arrangement signed on July 4, 2023.

The judge held that the bank acted in breach of the agreement by making unauthorised deductions from the claimant’s accounts, including a Debt Service Reserve Fee of N109 million, which was transferred contrary to the terms of the facility.

Justice Oba also ordered the bank to refund additional sums, including N26,076,388.32 deducted as interest despite a post-no-debit restriction, and a further N15 million withdrawn under similar disputed circumstances.

In addition, the court awarded N5 million as general damages for breach of contract and N1 million as cost of litigation in favour of Haril Global Solutions Limited.

The court described the contractual relationship between both parties as valid but concluded that it was discharged due to the bank’s breach of agreed terms.

However, Globus Bank’s counterclaim alleging fraud and system manipulation by the claimant was dismissed for lack of credible and verifiable evidence.

Justice Oba noted that the bank failed to identify specific transactions or provide testimony from affected third parties to substantiate its allegations.

The court also dismissed reliance on a police investigation report, describing it as insufficient to establish fraud, adding that it did not constitute a judicial determination.

In his ruling, the judge held that Globus Bank failed to discharge the burden of proof required by law, describing the counterclaim as unsupported and unmeritorious.

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The decision marks a significant legal setback for the bank in the commercial dispute.