Saturday, January 18, 2025

Delta Court awards N3.34b damages against Sterling Bank Plc for illegal, forceful takeover of Wellington Hotel premises

An Effurun High Court has awarded N3.5b as damages against Sterling Bank Plc and Bay Resources and Allied Services Ltd for unlawful sealing up, shutting down and forceful take over of Wellington Hotel Ltd premises at Plot 17 GRA, Extension along Effurun-Ughelli expressway, Effurun in Delta State between September 11, 2015 and May 31, 2016.

Presiding Judge, Justice Emmanuel Dolor, in a judgement delivered yesterday in suit No. EHC/75/2020: Wellington Hotel Ltd Vs Sterling Bank Plc and Another also set aside the purported sale of wellington Hotel Ltd by Sterling Bank Plc and Bay Resources and Allied Services Ltd as well as render account to the hotel for their unlawful take over from September 11, 2015 to May 31, 2016.

He ordered Sterling Bank Plc to pay N1b general damages and another N1b being true value of things damaged by defendants during the period of illegal and forceful occupation of the hotel’s premises.

Justice Dolor similarly ordered the bank to pay N1,337,298,750 being special damages for the loss of income for eight months of the illegal and forceful occupation of the hotel’s premises as well as N2,895,650.00 awarded for destruction of perishable items within the hotel during the period.

He ordered that the defendant should render an account of proceeds and management of the facility during the illegal occupation of the premises on or before January 25, 2025.

Justice Dolor also ordered that 20 percent interest on total sum awarded, commencing from the from the day of judgement be fully  paid to Wellington Hotel Ltd.

He held that the claimant had locus standi to institute the suit as well as that the claimant was in actual possession of Wellington Hotel at the time of the illegal and forceful invasion.

The Judge however ruled in favour of the defendants that a newspaper publication made during the incident did not amount to defamation noting that the claimant did not call any other witness apart from the Managing Director.

Wellington Hotel Ltd had in a writ of summons had amongst others sought for a declaration that the defendants forcible entry into its premises without the permission of the claimant amounted to trespass.

It also sought for a declaration of the court that the Instigation, prompting and use of officers of the Nigerian Security and Civil Defence Corps (NSCDC) by the defendants to forcibly take over, seal up, completely shut down and interfere with the claimant’s use, occupation and management of Wellington Hotel Ltd was unconstitutional, illegal, unwarranted, irregular and amounted to trespass.

Dr. Jonathan Ekperusi and Frederick Agbonifo from O. Obriks Uloho and Co chambers represented the claimant and commended the Judge for delivering the judgement which they described as “classic” while the defendants were absent in the court.

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