A Federal High Court, Lagos, yesterday discharged four banks from a garnishee proceedings filed by Ecobank Nig. Ltd, against Zamfara State over an alleged N3.1 billion debt.

The banks are United Bank for Africa (UBA), Diamond Bank, Stanbic IBTC Bank and Fidelity Bank.Other defendants in the suit are Zamfara State’s Attorney General, Zamfara State Ministry of Finance, Federal Ministry of Finance, Accountant-General of the Federation, Attorney General of the Federation and the Central Bank of Nigeria.

The trial judge, Justice Babs Kuewumi yesterday ruled that the banks, listed as 13th, 16th, 18th, and 20th garnishees in the suit be excused “from further participation in these proceedings for the time being.”
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Justice Okon Abang had in September 2015, ordered the defendants to pay the judgment sum of N3.1 billion to Ecobank, being its outstanding indebtedness to the bank.

The judge issued the order while delivering a judgment in a suit filed by Ecobank Nig. Ltd against the Zamfara State government over the indebtedness.

The plaintiff (Ecobank) subsequently, commenced a garnishee proceeding against the defendants, joining several banks as garnishees, while all defendants were listed as judgment debtors.

In the garnishee suit, the judgment creditor (Ecobank) had sought an order of court, directing the garnishees to furnish all funds and credit balances in the account of the first defendant.

Following the transfer of Abang from the Lagos jurisdiction of the court, Justice Kuewumi assumed jurisdiction in the suit.When the case was called yesterday, Mr. G.C Duru announced appearance for the judgment creditor (Ecobank) while Miss M. Ibezue announced appearance for the first and third judgment debtors.

Miss U.C Onyeabor represented the16th garnishee (Diamond Bank).Also, Mr. Lawrence Chuwa represented the 18th garnishee (Stanbic IBTC Bank) while Miss L.O Osamakuma announced appearance for the 20th garnishee (Fidelity Bank).

All garnishees present in court, then informed the court that they had filed various affidavits showing cause.Osamakuma, representing Fidelity Bank informed the court that the first judgment debtor (Zamfara State) maintains an account with the bank and had a debit balance of N70. 9 million.

She added that the fourth judgment debtor (Federal Ministry of Finance) also maintains an account with the bank, but had a zero balance, adding that the other judgment debtors had no account with the bank.Counsel to Stanbic IBTC Bank, UBA and Diamond said their accounts had insufficient balance.