Appeal Court backs EFCC on PND of State Governments’ Accounts

The Federal Court of Appeal, Makurdi Division has overturned the judgment of the Federal High Court, Makurdi holding the Economic and Financial Crimes Commission from placing the account of the Benue State Government on Post No Deposit for the purpose of investigations, without a court order.

The order was contained in a unanimous judgment delivered by Justice M.S. Hassan on September 22, 2022.

In the judgment, the appellate court held that the EFCC has powers to place any account, state governments accounts inclusive, on PND for 72 hours for the purpose of investigations without a court order.

The court also set aside the N50 million damages awarded against the EFCC by the lower court.

Justice Mobolaji Olajuwon of the Federal High Court, Makurdi had on February 2, 2019 delivered a judgment holding the EFCC from placing a PND on the account of the Benue State Government.

Dissatisfied with the judgment, the Commission approached the Court of Appeal.

The EFCC counsel, Steve Odiase, canvassed strong arguments against the earlier judgment and the appellate court held that the EFCC acted within its powers to freeze the account of the Benue State Government.

The court also held that banks are legally bound to obey orders from the EFCC on PND.