DIGITRONIX SYSTEMS LTD v. JISLAH FINANCIAL SERVICES LTD

Justice Constant K. Hometowu of the High Court adjudicated post-judgment garnishee proceedings stemming from a default judgment in favour of a Plaintiff/Judgment Creditor for GHC35,561,465.78 plus interest at 28% per annum on fixed deposits, culminating in a total judgment debt of GHC48,057,978.70. The Receiver for failed financial institutions (including Eric Nipah and Vish Ashiagbor) was initially garnished but discharged when it emerged that validated claims had been paid into the Defendant/Judgment Debtor’s accounts at Consolidated Bank Ghana (CBG). Subsequent garnishees targeted CBG, and NDK Capital Ltd (1st Claimant) and the Receiver (2nd Claimant) asserted interests: NDK relied on an interim preservation order in separate litigation, and the Receiver invoked Section 133(4) of Act 930 for set-off. The Court held the preservation order bound only funds with the Receiver and not the CBG account already attached by a garnishee nisi, and that the Receiver’s set-off right extinguished once funds were credited to CBG. Fraud allegations by NDK Capital were unproven. The Court dismissed the claims, granted a garnishee absolute, ordered CBG to pay GHC2,717,364.66 to the Judgment Creditor, and awarded costs.