December 6, 2017
SUPREME COURT
GHANA
CORAM
AI Generated Summary
Oceanic Bank Nigeria opened a USD 6 million account at Chari Commercial Bank (BCC) in Chad to satisfy regulatory capital. Later, USD 2,368,725 was transferred from Oceanic’s BCC account to Hiss Hands Agency’s account with Intercontinental Bank Ghana (now Access Bank) in Takoradi without Oceanic’s authorization. Swift records, the 2nd defendant’s representative’s testimony, and Oceanic’s own evidence of forged signatures established the funds originated from Oceanic’s account. The High Court dismissed Oceanic’s action and the Court of Appeal affirmed, focusing on technical pleading rules. The Supreme Court, per Gbadegbe JSC, held that unobjected evidence of fraud must be considered, equity treats unconscionable conduct as ‘fraud,’ and Hiss Hands failed to rebut. Applying unjust enrichment, the Court allowed the appeal and ordered restitution against both defendants.
GBADEGBE JSC:-
The plaintiff bank took out the writ of summons herein claiming against the defendants certain reliefs touching and concerning its entitlement to a specified sum of money transferred from its bank account held with BCC, a bank in the Republic of Chad into the account of the 1st defendant with the 2nd defendant’s branch in Takoradi. The plaintiff’s claim did not find favor with the trial High Court and an appeal therefrom to the Court of Appeal was dismissed. As a result of the said dismissal, we have before us in these proceedings an onslaught directed at the judgment of the Court of Appeal. For reasons of convenience, the parties to the proceedings herein shall bear the designation which they bore in the trial court. Accordingly, the parties shall be described as the plaintiff, the 1st defendant and the 2nd defendant.
The relevant facts on which the action herein is based may be stated shortly as follows. The plaintiff, a bank incorporated in Nigeria desirous of expanding its business operations in Chad opened an account with BCC, a bank in the Republic of Chad in the sum of USD 6,000,000.00. According to the unchallenged evidence, this was the equivalent of 36 million CFA, which is the minimum capital requirement under the Laws of the Republic of Chad in regard to banks. The evidence provides further that sometime after the lodgment of the money in the said account, its attention was drawn to certain developments relating to the account wherefore it called for transactions on the account for its study. An examination of the transactions on the account disclosed to its surprise that an amount of USD 2,368,725.00 had been transferred therefrom into the account of the 1st defendant held with the 2nd defendant’s Takoradi branch. As the transaction was unauthorized and indeed, unknown to them, they took out the instant action. By the amended writ of summons, the following reliefs were sought from the High Court.
(1) A declaration that the plaintiffs have not authorised the transfer of the sum of USD 2, 368,725.00 or at all into the accounts of the 1st Defendant with the 2nd Defendant Intercontinental Bank, Ghana Limited or at all
(2) A declaration that the transfer of USD 2,368,725.00 into the 1st Defendant’s accounts with Intercontinental Bank, Ghana Limited was obtained by fraud.
(3) An order restraining the 2nd Defendant from honoring any cheques, bills or other instructions for the purpose of withdrawing or otherwise dealing with any a