Demolition: Federal High Court Freezes Kano State Government Accounts Over N30 Billion Compensation

A Federal High Court in Abuja has issued a garnishee order, freezing 24 bank accounts linked to the Kano State government. This action stems from a N30 billion compensation case filed by the Incorporated Trustees of Masalachi Eid Shop Owners and Traders Association against the state government for the demolition of their shops.

The court, presided over by Justice I. E. Ekwo, granted the garnishee order in response to a lawsuit filed by the affected shop owners and traders. They alleged that the state government’s demolition of their shops in June 2023 was an illegal act.

The Certified True Copy (CTC) of the ruling, dated November 28, 2023, and signed by the Registrar, Chioma Chijioke, was made public on Wednesday. The order specifically targets not only the Kano State Government’s accounts but also those of the Kano State Urban Planning and Development Authority (KNUPDA) and the Attorney General of Kano State.

The court order reads, “A garnishee order Nisi is hereby made attaching the funds (present and future) of Kano State Government, Kano State Urban Planning and Development Authority, KNUPDA, and Attorney General of Kano State… to the tune of N30 billion.”

Additionally, the court mandated the Garnishees to appear before the court and show cause why the order Nisi should not be made absolute against them. The Judge, Justice Ekwo, granted a cost of N2 million for the Garnishees proceeding.

The case has been adjourned until January 18, 2024, for the Garnishees to present their case. The affected accounts include 24 banks, including the Central Bank of Nigeria (CBN).

This development follows a previous ruling by the Federal High Court in Kano, which ordered the Kano State Government to pay N30 billion in compensation to the shop owners. The ongoing legal battle highlights the complexity surrounding the demolition and subsequent compensation, raising questions about the legality of the state’s actions.