Union Bank Ordered To Refund N34m Fraudulent Deduction From Customer’s Account

…to pay N3m fine

Financial institution led by Emeka Emuwa, Union Bank has been ordered to repay a N34m illegal deduction from a customers account.

This directive was given by a Lagos High Court via the ruling of Justice Morenike Obadina.

The court based the ruling on revelation that Union Bank failed to support claims that the N34m deduction were remitted to the Central Bank of Nigeria for ‘series of foreign transaction between the customer and foreign partners’.

The customer identified as Prince Nwokocha Ezikpe and his company- Felimex Nigeria Limited instituted the court action against the bank when the Central Bank denied receiving the remittances.

The Bank claimed the install mental deductions were for goods imported by Felimex Merchantile Nigeria Limited- one of the two companies that transformed into Felimex Nigeria Limited. ( The other is Sobatex International). But the financial institution couldn’t provide proof to the customer and also in court.

The court ordered the bank to refund the illegal deduction and also awarded N3m in favour of the customer for breach of contract.

Findings by societynowng.com revealed cases of illegal deductions from customers accounts are one of the major cases of fraud afflicting the banking industry.