Court Pressures CBN Chiefs Over Unpaid German’s Award

A flyer showing people.

The Federal High Court in Abuja has authorized the issuance of contempt proceedings against the Central Bank of Nigeria (CBN) Governor, Olayemi Cardoso, and the Director of the Legal Services Department, Salam-Alada Kofo.

This action comes after their alleged failure to obey a court order to settle a judgment debt owed to a German national, Martin Gegenheimer.

Background

In March 2021, the ECOWAS Court ruled that Gegenheimer’s arrest and detention by Nigerian Immigration Service (NIS) officials on February 23, 2020, while attempting to board a flight to Kenya, was illegal.

The court ordered the Nigerian government to pay him N53.6 million as special damages for losses incurred during his unlawful detention, N10 million in general damages, and $10,000 for expenses related to securing his bail.

Justice Inyang Ekwo on February 22, 2024, issued a garnishee order directing the CBN to pay Gegenheimer a judgment debt of N63.7 million and $10,000. The ECOWAS Community Court granted this award for Gegenheimer’s unlawful arrest and detention by the NIS in 2020.

The notices, endorsed by the court registrar, require Cardoso and Kofo to appear before the court and show cause why they should not be committed to prison for failing to comply with the order.
Despite the garnishee order issued on February 22, 2024, the CBN has failed to settle the judgment debt.

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Court’s Decision

In its decision, the Federal High Court authorized the issuance of contempt notices against Cardoso and Kofo, requiring them to explain why they should not be held in contempt and committed to prison for disobeying the court order.
The notices remind the CBN officials that their failure to comply with the order within 44 days far exceeds the 10-day timeline allowed by the Garnishee Charter for resolving legal issues concerning the CBN.
the notices warns, that unless Cardoso and Kofo obey the order, they will be in contempt of the Federal High Court order and liable to be committed to a correctional facility in Nigeria.
In the notice, the two CBN senior officials are directed to attend court on a date to be communicated to them.