Former governor of the Central Bank of Nigeria, Sanusi Lamido Sanusi, has reiterated that the ruling of the Bankers' Committee regarding the disputed N5 billion debt between Ecobank Nigeria Limited and Honeywell Group remains in effect.
Sanusi emphasized that the Bankers' Committee, functioning as a consensus-based body, possesses the authority to issue binding decisions for banks. He clarified that while the committee acts similarly to an arbitral court, it is not an actual court. Nevertheless, the committee's decisions hold significant weight within the banking sector, as bankers possess a deeper understanding of their own rules and practices compared to the courts.
The disagreement between Ecobank Nigeria and Honeywell Group over the alleged N5 billion debt appears to have been resolved as early as 2015, following a declaration by the Bankers' Committee. The committee's Ethics and Professionalism sub-committee confirmed the validity of an agreement for Honeywell to pay Ecobank N3.5 billion as a full and final settlement.
In response to a letter from Ecobank Nigeria, legal representatives of Oba Otudeko clarified that the claims made about a Supreme Court decision on January 27, 2023, affirming their client's or Honeywell Group's indebtedness were false. They emphasized that neither Otudeko nor Honeywell Group was party to the Supreme Court decision, and no order was issued against them.
The lawyers further clarified that the specific amount of N13,507,052,417.99 mentioned in Ecobank's letter was not part of any court decision or judgment in Nigeria or elsewhere. They concluded that no court order has awarded such a sum as a debt owed by their clients or any of the Honeywell companies in favor of Ecobank.
The Bankers' Committee's report from June 26, 2015, revealed that Ecobank was accused of attempting to renege on a settlement agreement regarding facilities provided to Anchorage Leisures Limited, Siloam Global Services Limited, and Honeywell Flour Mills Plc. The committee's report confirmed the agreed settlement amount of N3.5 billion, and it recommended that the agreement be honored.
The dispute escalated when Ecobank filed a suit seeking to wind up Honeywell in October 2015. However, the matter was also submitted to the Bankers' Committee for adjudication. While the committee ruled in favor of Honeywell, Ecobank claimed that the Central Bank of Nigeria (CBN) had flagged the accounts during a review, demanding immediate payment of the outstanding amount.
Various legal proceedings followed, with both parties securing interim injunctions and appealing court decisions. Ultimately, the Supreme Court made two rulings in favor of Honeywell, dismissing Ecobank's appeals and upholding the decision of the Court of Appeal.
In summary, the Bankers' Committee's ruling on the N5 billion debt dispute between Ecobank Nigeria and Honeywell Group stands, according to former CBN governor Sanusi Lamido Sanusi. Legal representatives of Honeywell have clarified that the claims made about a Supreme Court decision affirming their client's indebtedness were false. The resolution of the dispute dates back to 2015, with the Bankers' Committee confirming an agreed settlement amount of N3.5 billion. Subsequent legal proceedings led to the Supreme Court ruling in favor of Honeywell.
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