Appeal Court Upholds ₦85m Damages Against Zenith Bank, Police

The Court of Appeal in Abuja has upheld an ₦85 million damages award against Zenith Bank Plc and the Nigeria Police Force over the unlawful freezing of a customer’s bank account.

The appellate court affirmed the judgment of the Federal Capital Territory High Court, which had awarded damages after finding that the account was frozen on the basis of an invalid court order.

The case centred on the restriction placed on the customer’s account following a request involving the Nigeria Police Force. The account holder challenged the action, arguing that the continued restriction lacked a valid legal foundation.

In its decision, the Court of Appeal upheld the lower court’s findings and the ₦85 million award, reinforcing the principle that financial institutions and law-enforcement agencies must operate within the limits of lawful judicial authority when restricting access to customers’ funds.

The ruling highlights the legal consequences that can arise when bank accounts are frozen without proper and valid court orders, particularly where such restrictions affect a customer’s ability to access their funds.

The decision also underscores the responsibility of banks to ensure that instructions or requests relied upon to restrict customers’ accounts are backed by valid legal authority.

For bank customers, the judgment reinforces the importance of due process and judicial oversight in cases involving the freezing or restriction of accounts.

The ruling is also likely to attract attention across Nigeria’s banking and legal sectors, given the broader implications for the relationship between financial institutions, law-enforcement agencies and the rights of account holders.