Republic v High Court, Accra, ex parte Social Security Bank Ltd

AIKINS JSC. In this matter the applicants are asking for (a) an order for certiorari to quash the ruling of the High Court, presided over by His Lordship Sarpong J on 29 October 1993 in suit No 57/93 titled Dr Samuel Nyako-Agakwya v Social Security Bank Ltd and (b) a direction that interest on the sums of £45,162.94 and £3,334 awarded under the judgment of the High Court dated 26 January 1990 in suit No 1104/87 entitled Dr Samuel Nyako-Agyakwa v Social Security Bank Ltd to be recovered at the rate prevailing in the United Kingdom at the date of judgment.

The respondent, the plaintiff in suit No 1104/87, had obtained judgment for damage caused to his consignment of personal effects and medical equipment which were warehoused by the applicants pursuant to a loan agreement between the parties. On May 4, 1990 the court, presided over by Lutterodt J, quantified the damages against the applicants as follows:

“(1) The cedi equivalent calculable at the Bank of Ghana rate of exchange as at the date of payment of the sum of £3,334 being the freight charges for the 3 containers whose contents were damaged.

(2) The cedi equivalent calculable at the Bank of Ghana rate of exchange as at the date of payment of the sum of £45,162.94.

(3) Interest on the said sum at the current bank rate at simple interest.”

The court further ordered that the interest on the two sums, £3,334 and £45,162.94 should be calculated with effect from 29 April 1986 (the date on which the plaintiff made a demand for the goods to be released to him) in addition to other heads of damage which she had awarded to the plaintiff in the main judgment on 26 January 1990, to the date of final judgment.

This judgment was confirmed by the Court of Appeal and the Supreme Court both as to liability and as to quantum of damages including award of interest. At this stage there was no dispute about the applicability of the rate of interest, whether that prevailing in Ghana or United Kingdom. The controversy arose when the respondent filed an entry of judgment in which calculation of interest had been made at the prevailing bank rate in Ghana. The applicants raised objection and contended that the UK interest rate should be applicable, and relied on the case of Royal Dutch Airline (KLM) v Farmex Ltd [1989-90] 2 GLR 623. It was to resolve this matter that the respondent issued out an originating summons in the High Court where the presiding judge, Sarpong J, a