Friday, 29th March 2024
To guardian.ng
Search
Breaking News:

Court voids sack of bank’s executive director

By Yetunde Ayobami Ojo
15 October 2018   |   2:47 am
A national Industrial Court, Ikoyi, Lagos has declared Mrs. Arese Alonge a subsisting Executive Director of Unity Bank and ordered the bank to pay all entitlements and benefits pertaining to her office.

A national Industrial Court, Ikoyi, Lagos has declared Mrs. Arese Alonge a subsisting Executive Director of Unity Bank and ordered the bank to pay all entitlements and benefits pertaining to her office.

In a judgment delivered by Justice John Dele Peters, the court held that the bank had not followed the mandatory provisions of Sections 262 and 266 of the Companies and Allied Matters Act (CAMA) in the purported termination of Alonge’s appointment. The judge therefore voided the sack.

The suit was instituted by the claimant in Lagos and trial conducted in Lagos before the trial judge was transferred to the Ibadan division of the court. The judgment was therefore delivered in Ibadan on September 27, 2018. Section 262 provides that for a director to be removed, he or she must be served a requisite notice of a meeting while Section 266 provides the procedures for removal of directors.

Justice Peters said: “I therefore pronounce the said removal invalid, the claimant must be deemed to be and is still the Executive Director of the first defendant, I so pronounce it.” The judge declared that the letter of termination of appointment issued to Alonge by Unity Bank dated January 14, 2015 was null and void and as a result, she is still an Executive Director of the bank.

“The claimant is to continue to enjoy all the entitlements, benefits emoluments and all other rights and or privileges attached or appertaining to the office and position of Executive Director of the first defendant,” Justice Peters said.

The judge ordered that Unity Bank should pay Alonge her basic monthly salary of N1.381 million, commencing from January 30, 2015 till the date of the judgment. In addition, the judge ordered the defendant to effect payment of the quarterly N2, 194,666.00 payable in the months of January, April, July and October, commencing from January 30, 2016 till the date of the determination of the suit.The claimant is also to enjoy other allowances, benefits and entitlements due to her as an Executive Director.

In this article

0 Comments