‘Our Account With CBN Not Blocked’– Polaris Bank Reacts To Court Order

Polaris Bank Limited has denied any court order demanding the Central Bank of Nigeria to freeze its account over an alleged mismanagement of the accounts of the Ondo State Government.

The bank made the claim in a statement titled, “Attorney General Of Ondo State & Anor V Polaris Bank Limited. RE: Court Orders CBN to Freeze Polaris Bank Account Our Position.”

It was reported that the Attorney General and Commissioner for Justice Ondo State, Mr Charles Titiloye applied for the garnishee order nisi in the suit No AK/75/2017, directing the CBN to freeze the account of Polaris Bank.

Polaris is indebted to Ondo state government to the tune of N2,162,561,509.84.

A judgement in favour of the State held that Polaris Bank made unlawful deductions from the accounts of the Ondo State Ministry for Local Government and Chieftaincy affairs.

The lender was ordered a refund and pay damages to the state.

A court had granted a stay of execution of the judgment pending an appeal on the condition that the bank pay the judgement debt to an account belonging to the Registrar of the court.

But Polaris said the garnishee order nisi was not to freeze its accounts with the apex bank.

Polaris said, “We are aware of the matter and our Solicitor has filed the necessary processes to set aside the Garnishee Order.

“The matter is on appeal and an application for stay of execution is pending at the Court of Appeal. Thus, the garnishee order ought not to have been obtained by the reason of the pending appeal and motion for stay.

“The Bank is yet to be served the Garnishee Order as required by law relating to Garnishee proceedings.

“Above all, the effect of the order is not to freeze the Bank’s account with CBN as erroneously published by a section of the media but to set aside the contentious judgment sum until conclusion of hearing in the case.”