Alleged contempt: CBN, firm agree to settle out of court
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By Taiye Agbaje
The Central Bank of Nigeria (CBN) and a private firm, Melrose General Services, on Monday agreed to settle their legal dispute at the Federal High Court in Abuja out of court
The development was made known by Yusuf Ali, SAN, counsel to the CBN Governor, Olayemi Cardoso, and Chikaosolu Ojukwu, SAN, lawyer representing Melrose before Justice Mohammed Umar shortly when the matter was called.
The News Agency of Nigeria (NAN) reports that Melrose had in a suit marked: FHC/ABJ/CS/532/2025, filed a contempt charge against Cardoso over alleged disobedience to a Supreme Court judgment.
In June 2024, the Supreme Court had overturned a previous forfeiture order against Melrose General Services Limited’s funds, which had been frozen following an investigation by the Economic and Financial Crimes Commission (EFCC).
The disputed sums included N1,222,384,857.84 in Melrose’s bank account and N220 million paid by the company to Wasp Networks and Thebe Wellness as loan and investment.
The apex court had ruled that the EFCC had not proven the funds were proceeds of fraud, as alleged.
The court set aside the lower courts’ forfeiture orders, directing the release of the funds to their rightful owners.
However, inspite of the Supreme Court’s decision, Melrose’s lawyers filed a lawsuit at the trial court, alleging that the CBN and its top officials had only partially complied with the judgment.
Melrose, in its application before Justice Umar averred that while the N1.22 billion was refunded, the outstanding N220 million remains unpaid.
The disputed money was part of the Paris Club refund.
The company, through its counsel, filed the contempt suit against the CBN governor; the apex bank’s Director of Legal Services, Salam-Alada Kofo and the EFCC.
Also joined in the suit is the Minister of Finance.
It argued that their refusal to release the full amount constitutes contempt of court and undermines the Supreme Court’s authority.
NAN reports that the dispute stems from the controversial Paris Club refund, a settlement involving payments to consultants for services rendered to the Nigerian Governors’ Forum (NGF).
The EFCC had claimed that an investigation revealed N3.5 billion was allegedly fraudulently paid to the appellant for a purported consultancy job for the NGF.
At the apex court, Melrose’s legal team argued that the disputed funds were payment for a contractual and consultancy agreement between their client and relevant government stakeholders.
In its majority decision, the Supreme Court agreed with the appellant, ruling that the EFCC failed to prove the funds were proceeds of fraud.
Consequently, the court upheld the appellant’s case and set aside the lower courts’ forfeiture orders.
At the resumed hearing on Monday, Ali told Justice Umar that while the matter started with “some very big figures” of money, the outstanding is “just N20 million.”
According to him, we have had preliminary discussions within ourselves; that is, the counsel to the applicant (Melrose).
“And we believe that this is a matter that can be settled out of court through settlement without necessarily requiring your lordship to write a ruling,” he said.
The senior lawyer then asked for a date to come back and make a report on the settlement.
Ojukwu also confirmed Ali’s statement.
“He (Ali) has agreed to speak to the CBN on the matter,” he said.
He said parties had opted for reconciliation and the judge adjourned the matter until July 22 for a report on the settlement. (NAN)(www.nannews.ng)
Edited by Sadiya Hamza
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