Insurance Firm Drags CBN To Court


Altimate Trust Insurance Company Limited has renewed its legal battle against the Central Bank of Nigeria (CBN), over alleged failure to refund statutory deposits.


In an amended statement of claim filed before a Federal High Court in Lagos, the insurance company alleged that it made statutory deposits pursuant to the provision of the relevant statutes with the Central Bank of Nigeria between 1981 and 2001 in various sums amounting to N7,700,000 for which a receipt was issued accordingly.


The company averred that on 28 July, 2004, the National Insurance Commission cancelled its registration and appointed one Ibrahim Birma as receiver/liquidator and on 4 August, 2006, its was informed that approval had been obtained for the release of the statutory deposit with the CBN.


Consequently, the liquidated insurance company was ordered to apply for the release of the statutory deposits from CBN through National Insurance Commission prior to the application for the release of the deposit.


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Central Bank, on 27 March, 2005, admitted that the amount due to the plaintiff with interest as at that date was N8,211,484.41.


However, in spite of the admission, the CBN was alleged to have paid N2,610,000.08 on 14 May, 2009 when the accrual amount owed as at that date was about N10,619,454.72 being the statutory deposit and accrued interest and the said sum have not been paid.


The plaintiff, through its solicitors, wrote a letter demanding for the balance of N7,647,420 due to be paid as at 27 May, 2005 but the defendant did not honour the demand.


In view of this, it is claiming N8,009,454.64 from the Central Bank, being the statutory deposit with accrued interest payable as at 27 May, 2009 and N2 million as damages.


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