JAAFARU MIKA'ILU. J.C.A.(Delivering the Leading Judgment): This is an appeal against the judgment of the High Court of Cross River State, Holden at Ikom and delivered by Hon. Justice M. O. Eneji on the 2nd day of March 2007.
The facts of this case are that in the year 1997, the 1st Respondent applied for an overdraft of N1,540,000.00 from the appellant to finance a Local Purchase Order (LPO) from the Cross River State Primary Education Board for the purchase and supply of vehicles. A domiciliation of payment was duly executed by the 1st Respondent in favour of the appellant.
It is alleged that after receiving the funds, the 1st Respondent failed to supply the vehicles to the Education Board, thereby frustrating the domiciliation of payment in favour of the appellant. He stopped operating his account with the appellant and diverted all his banking transactions including lodgment of large sums of money to another bank.
When it became obvious to the appellant that the conduct of the 1st …