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Unpaid Benefits: Court Dismisses Unity Bank’s Suit Against Former BON Staff

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The National Industrial Court, Abuja Division has dismissed the suit filed by Unity Bank Plc, asking the court to stop
former staff of the defunct Bank of the North (BON), from picketing offices of the Bank across the country over non payment of their terminal benefits.

Unity Bank Plc through its lawyer, Akpama Ekwe had dragged Aliyu Yusuf; Julius Mcdul and  Samson Achimugu, who were representative of the defunct BON to court in suit a marked NICN/ABJ/210/2013.

In the suit, Unity Bank Plc asked the court for an order of perpetual injunction restraining the defendants either by themselves, servants, agents, and/or privies howsoever described from picketing the Bank or doing anything or act whatsoever that will interrupt, interfere or in any way disrupt with the its operations in all its branches.

The Bank also sought for the following “A declaration that the it is not in any way liable to the defendants.

 “A declaration that the 50 percent payment of pension and gratuity by BON shareholders was full and final payment. And an order for the cost of filing this suit.

But the former defunct BON staff in their defence and counter-claims to the Unity Bank Plc’s suit, filed and argued by their lawyer, K. C. Muoemeka; urged the court to dismiss that bank’s suit.

The Defendants also asked for the following reliefs; “a declaration that they are entitled to full implementation of the 2005 collective agreement with regard to payment of terminal benefits of staffers of the defunct Bank of the North Limited.

“A declaration that the purported agreement executed between the shareholders and management of the defunct Bank of the North Limited on February 7 and 16, 2006, respectively with officials of ASSBIFI and NUBIFIE, Bank of the North Limited domestic unit waving 50 percent, their benefits is a nullity.

“A declaration that Unity Bank Plc, is bound by the collective agreement of 2005 and should pay them a full redundancy benefits which is made up of basic salary, housing allowance, transport allowance and lunch subsidy in accordance with the collective agreement of 2005, as the Unity Bank Plc, had inherited all assets and liabilities of the defunct Bank of the North Limited by virtue of the merger.

“A declaration that the suit of the claimant is lacking in merit, vexatious and an attempt to delay their entitlements.

“A declaration that Unity Bank Plc., is indebted to them in the sum of N1, 605, 946, 377.50 billion, as outstanding 50 percent balance sum for redundancy on basic salary alone and a further sum of N2, 230, 650,084.44 billion, as unpaid 100 percent redundancy on Housing allowance, Transport allowance and Lunch subsidy and in all totaling N3, 836, 596, 461.94  billion, and when the sum of N34, 356, 836. 45 million, due to their five members, with judgment in Suit NO. NICN/ABJ/175/2013 is deducted there-from gives a balance sum of N3, 802, 239, 625.49 billion, as their current financial exposure and debt owed them. 

“An award of the sum of N3, 802, 239, 625.49 billion, against the Unity Bank Plc, and in their favour, as unpaid terminal benefits owed them by the Unity Bank Plc.

“An award of the sum of N550 Million as cost of action and general damages, respectively. 

“An Award of 10 percent post Judgment interest on the entire judgment sum from the date of judgment till same is fully liquidated. And order dismissing the claimant’s suit with cost of N5 Million.

Justice Edith N. Agbakoba in her judgment delivered on July 28, 2022, after perused all the processes filed by the parties, and legally weighed the submissions of Counsel, dismissed all the reliefs sought by the Unity Bank Plc, for lacking in merit.

Justice Agbakoba equally refused the monetary requests of the defendants/counter-claimants, for being incompetent.

In her judgment, Justice Agbakoba, after citing plethora of legal authorities held that; “From the foregoing, the Counterclaim I find is abuse of process and therefore is hereby struck out. 

“The claimant case lacks merit and counter claim is incompetent, case dismissed.”

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