A Federal High Court, Ikoyi, Lagos has ordered the United Bank for Africa (UBA) PLC to pay a firm, D.S. Dave trading under the name and style of V.M. Products, the sum of £38, 000.00 (Thirty eight thousand British Pounds Sterling) being the total amount due to the firm under the letter of credit number UNCLCIB 151/83/04/2492 of 28th December, 1983 granted in the plaintiff’s favour by the bank, upon which the plaintiff released goods to Kemson Trading Stores, which sum the bank refused or neglected to remit to the plaintiff.
Justice Muslim Hassan also made an order for the payment of interest on the said sum of £38,000.00 at the rate of 21 per annum until the judgment sum is liquidated.
Besides, the judge also ordered UBA to pay the plaintiff the sum of N4 million being general damage for failure by UBA to remit the sum of £38,000.00 due to the plaintiff under a letter of credit dated 28th December, 1983 upon which the plaintiff released agricultural equipment to the company, Messrs Kemson Trading Stores.
Specifically, the court awarded a cost of N50,000.00 in favor of the plaintiff against the bank and made an order that the plaintiff is entitled to the sum of £38,000.00 being the amount due to the plaintiff under the letter of credit number UNCLCIB 151/83/04/2492 of 28th December, 1983 granted in the plaintiff’s favour by the bank upon which the plaintiff released goods to Kemson Trading Stores, which sum the bank has till date refused, failed or neglected to remit to the plaintiff notwithstanding several demands.
Justice Hassan said: “I have examined very carefully the oral and documentary evidence in this case and have reached the decision that the evidence of the plaintiff is to be preferred to that of the defendant on all material issues.
“PW1 evidence is very consistent, both in examination in chief and under cross examination, his credibility was not shaken nor discredited under cross examination.
“I hold that the defendant has failed, refused and neglected to pay the sum of £38,000.00 due to the plaintiff under the letter of credit despite repeated demands by the plaintiff.”
Thirteen years ago, the plaintiff had approached the court and by its amended statement of claim dated and filed on 21st of December, 2012 sought the court for an order directing the defendant to pay the plaintiff the said sum of £38,000.00 being the total amount due to the plaintiff under the letter of credit number UNCLCIB 151/83/04/2492 of 28th December, 1983 granted in the plaintiff’s favour by the defendant, upon which the plaintiff released goods to Kemson Trading Stores, which sum the defendant refused, failed or neglected to remit to the plaintiff.
The plaintiff sought interest on the said sum of £38,000.00 at the rate of 21 percent per annum from January 1984 until March 2004 and thereafter at the same rate until final liquidation.
Alternatively, the plaintiff asked the court to ordered the bank pay the sum of £1, 719, 851.8 being special damages for failure of the defendant to remit the sum of £38,000.00 due to the plaintiff under a letter of credit dated 28th December, 1983 upon which the plaintiff released agricultural equipments to one Messrs Kemson Trading Stores.
The sum of N9.5 million being general damages for failure of the defendant to remit the sum of £38,000.00 due to the plaintiff under a letter of cre
