[Just In] Gadzama, SAN Wins Over $600M Appeal filed by the FCTA against Kohath

The Court of Appeal has delivered its Judgment in the appeal filed by J-K Gadzama LLP on behalf of the Honourable Minister of the FCT & Ors. against the decision of the FCT High Court which had held the FCTA liable to the payment of over $600M with interest to Kohath Property Development Company Limited for alleged breach of contract.


Despite the order of stay of execution pending appeal by the FCT High Court (the same Court which had delivered the judgment) and an appeal against the said decision, Kohath had proceeded to commence enforcement of the said judgment before Hon. Justice Aguma of the Rivers State High Court, Bori, who in an unprecedented manner, granted garnishee absolute orders towards the enforcement of the judgment. The Rivers State High Court made its orders despite its attention being drawn to the fact that there was a pending appeal and an order for stay of execution pending appeal by the same Court that delivered the judgment.

Today, 5th September, 2023, the Court of Appeal has settled the issue by setting aside the Judgment of the FCT High Court which had awarded the sum of over $600M against the FCTA and upon which Kohath had commenced enforcement. The Court of Appeal in its judgment remitted the matter to the FCT High Court to be given an expedient hearing. The appeal was heard by Hon. Justice O. E. Williams-Dawodu, Hon. Justice U. A. Ogakwu and Hon. Justice J. Y. Tukur.

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The judgment of the Court of Appeal has very serious and obvious implications for Kohath who had hurried to pluck the fruits of a judgment despite an order of stay of execution pending appeal.

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