IN THE NATIONAL INDUSTRIAL COURT OF NIGERIA

IN THE LAGOS JUDICIAL DIVISION

HOLDEN AT LAGOS

BEFORE HIS LORDSHIP HON JUSTICE A.N UBAKA

 

DATED 13th DECEMBER, 2024         

Suit No: NICN/LA/234/2018

 

BETWEEN

 

MR. MAURICE UCHE MADUEMESI                                      CLAIMANT        

                             

AND

 

NIGERIAN AVIATION HANDLING COMPANY PLC         DEFENDANT

 

REPRESENTATION:

Chief Emmanuel. N. Ahuchaogu with for the Claimant

A.M Ijaoba for the Defendant

JUDGMENT

By a general form of complaint filed on the 11th of April, 2018 but amended on 20th August, 2018, the claimant claimed the following reliefs against the defendant:

 

1.      A Declaration that the purported termination of the Claimant's appointment is contrary to his contract of employment, wrongful, malicious, discriminatory and therefore null and void.

 

2.      A Declaration by the Court that the letter of termination dated 14th day of August, 2017 is invalid, has no force of law, null and void and of no effect whatsoever and as such did not terminate the employment contract of the Claimant.

 

3.      An Order of the Court that the Claimant's employment contract with the Defendant still subsists.

 

4.      An Order of the Court that all salaries, allowances emoluments and benefits of the Claimant be paid to him by the Defendant from the date of purported termination till the determination of this suit.

 

5.      An Order of court mandating the Defendant to pay to the Claimant N10,000,000.00 (Ten Million Naira) only as punitive damages for what the claimant has undergone as a result of the Defendant's actions, which constitutes an unfair labour practice, disgrace and contempt to the dignity of the claimant.

 

6.      Cost of this action as may be assessed by the Honourable Court.

 

Accompanying the amended complaint is the claimant’s written statement on oath, list of witnesses and documents to be relied upon on trial dated and filed 20th August, 2018.

 

In reaction, the defendant entered formal appearance and then filed a statement of defence, witness written statement on oath (25th November, 2019) and list of documents to be relied upon at trial dated 22nd May, 2018 but filed 24th May, 2018.

 

The claimant’s Reply to the defendant’s statement of defence is dated and filed 1st September, 2020.

 

The summary of the facts pleaded by the claimant is that he joined the services of Nigerian Aviation Handling Company Plc, on 1st March, 2011 as a manager and was deployed to the Company Secretariat of the company as the Manager in-charge of Corporate Governance & Stakeholder Relations; that by his position, he was next to the Company Secretary (a Defacto Deputy) and that he served the company meritoriously without blemish and even received a letter of commendation for his excellent service. That sometimes in July 2016, operatives of the Economic and Financial Crimes commission, EFCC, raided the corporate headquarters of the company based on a petition written against the former chairman of the Board of Directors of the company, Alh. Suleiman Yahyah wherein the petitioners alleged that the former chairman, Alh. Suleiman Yahyah through a Management Service Agreement, his company, Rosehill Group, entered into agreement with Nahco Pl, the said company was defrauding the company of huge sums of money; that he has breached the Code of Corporate Governance through his interference with the day-to-day running of the company, among other accusations and also that Alh. Yahyah has a major stake in the company and his companies have acquired more that 16% of the company's equity.

 

That during the raid by the EFCC operatives they ransacked various offices mainly Secretary, Finance department as well as the Internal Audit and Compliance among others, and carted away official documents, consequently, the former chairman, some members of the Board and Management staff of the company, including my himself, were quizzed at the EFCC office at Ikoyi, Lagos; that the former chairman was detained in Lagos for upwards of 20 days and he was detained for 2 nights. That his travail started when the operatives inquired about the contents of two documents. In the first, he acknowledged receipt of a total sum of $265,000 (Two Hundred and sixty-five thousand United States Dollars) only while the other document showed that a sum of Twenty Million Naira was applied for at the instruction of the Company Secretary, withdrawn and changed into dollars totaling about $110,000 (One Hundred and Ten Thousand United States Dollars) only; that the total sum of $375,000 (Three Hundred and Seventy-Five Thousand Dollars) only was taken to the chairman, Alh. Yahyah Suleiman by him and that the then Company Secretary, Mrs. Folashade Ode, had summoned him to her office and told him that the said sum, which was in cash, be taken to the office of the former chairman, Alh. Suleiman Yahyah and also said that it was the instruction given by the then Chairman who visited Lagos that week.

 

That as part of his duty schedule, he carried out the instruction obediently and the cash of $375,000 was taken to Abuja by him personally and delivered to the former chairman in person at his office at No 7, Jose Marte Street, Asokoro; that the then Company Secretary, Mrs. Ode in her statement under oath at the EFCC explained that the sums were delivered to Alh. Yahyah, through him in line with her instructions.  However, things took a strange twist when the former chairman became uncomfortable with the facts in possession of the EFCC and demanded that they be changed and called him and demanded that he retrieved his statement which had been made more than a week earlier, and change it to read that he handed over the said monies, ($375,000) to an unnamed consultant, instead of himself, this he objected to; that he told him that he could not do so since he never met with anyone but himself. That as a lawyer, he knew the implications and since then, he was crossed with him and threatened that he was going to deal with him and the former expatriate Managing Director and CEO, Mr. Norbert Bielderman for 'conspiracy' against him. That the threat was made openly at the EFCC office and he followed it up with subsequent phone calls to the former MD.

 

That Mr. Bielderman's sin was that he responded to the question of the EFCC operatives which was ‘whether the company was deriving any value from the Management Service Agreement (MSA) between Rosehill Group and Nahco Plc’ He (Mr. Bielderman) in all honesty, said 'No' for that, Alh. Yahyah felt bad that he had blocked his 'oil well'. He had collected over N1b,' (One Billion Naira) only from the company through the said Agreement since its inception. By the agreement, he was collecting 3.5% of the earnings of the company yearly. That Alh. Yahyah due to the criminal investigation by the EFCC, was forced to resign his seat on the Board of the company. However, he still controls the Board as he single-handedly picked all the members and they do his bidding till date. That due to the strained relationship between himself and Alh. Yahyah, he gave an instruction to some members of the Board to determine his appointment which was resisted by the then MD, Mr. Norbert Bielderman, Mr. Bielderman had told the members, who brought the issue up severally during Board's Governance Committee meetings, that he was never indicted by the EFCC investigation as he was simply doing his job as instructed. That the power to hire and fire rests with him. That the board started taking steps to make him redundant; firstly, he was denied the opportunity of succeeding Mrs. Ode as the Company Secretary when she was promoted Executive Director, Instead, a junior officer was drafted to act in that capacity; that later, when the position was advertised, internally and externally, he applied, participated in a written test, he excelled as the former MD reliably informed him, and I believed him but instead of giving him the position, some members, acting on the promptings of the former chairman, insisted that 'the board does not want him'. Alh. Yahyah directed that a firm, owned by his ally, Mahmood Dikko and Associates, be hired, which was done.

 

That it is important to point out that before all these, for years, he had served as the Secretary of the Board Committee namely; Governance, Establishment and Remuneration Committee; Operations and Strategy Committee respectively, these duties he carried out diligently and that during the 2016 Annual General Meeting of the company held in Abuja in July, 2017, Alh. Yahyah, through the Board, instructed the Management that he should not be in attendance, despite the fact that it was part of his duty schedule and he did not attend. That Mr. Norbert Biederman, who was the MD/CEO was frustrated out of the company and made to resign his appointment in May, 2017 and that on Friday, 11th August, 2017, the same date Mr. Bielderman left the shores of Nigeria, he was summoned by the Acting Managing Director, Mrs. Ode and the Head, Corporate Services, Mr. Bashir Ahmed Gulma to the Acting MD's office that fateful afternoon and was told in unmistakable and unambiguous language by the duo that there was an instruction from the Board that he should put in a letter of resignation of his appointment and that both of them expressed regrets that they 'were simply carrying out an instruction from the Board' and that it was beyond them.

 

That Mr. Gulma shed tears in his efforts to explain the situation pointing out that he knew the reason for the action, which Mrs. Ode, who was directly involved during the EFCC investigations, acquiesced; that the following Monday, he informed the EFCC offices in Ikoyi of his plight pointing out that the decision to disengage him from Nahco Plc was as a result of their investigations and the disclosure contained in his statement to them which the former chairman Alhaji Suleiman Yahyah said he should retract and he told him it was not possible for him to speak from both sides of his mouth at the same time; that the Head of Operations Lagos office, Mr. Garba Dugum, after listening to his narratives summoned Mr. Dan Danladi, member of the investigation team in charge of the Nahco plc investigation and directed that a letter be sent to Nahco PIc stopping any action against anyone involved in the matter until the conclusion of investigation and that a letter was written that same Monday and hand delivered at the Nahco PIc Headquarters before 10.00am on Tuesday morning by EFCC staff which was acknowledged. However, instead of heeding their instruction the company in a hurry, after the receipt of the letter, dispatched an email to him stating that his service to the company were no longer required contrary to the provisions of his contract; that he was instantly blocked out from the company's intranet immediately making him not to have access to his personal mails or any further information about the company, which is a breach to his contract of employment. That the following day, 15th August, 2017, he noticed that the official laptop assigned to him had been locked electronically by the (ICT defendant) and that he was in the office when he received a call from home by his daughter that a letter was delivered to him by the DHL and he instructed her to receive it; that on getting home, he found out that a letter of disengagement had been sent to him by the company that his services were no longer required and he quickly took the letter to his solicitors for advice.

 

That it was not signed by any staff of the company, but simply, 'For Management', that his Solicitors, ECN AHUCHAOGU & CO. have informed him and he verily believed them that the said letter is not authentic; that he has been traumatized by that act since he never committed any offence but that someone was simply welding powers and making efforts to cover the truth;  that he simply obeyed his superior's instruction to deliver cash at the former Chairman's office in Abuja, which he did as instructed . That the defendant has made life difficult for him, he is out of work and without pay and as a result his bills, his children's school fees and family up keep now are unattended to; that the actions of the Defendant is  contrary to his agreement of employment with it and amount to an unfair labour practice; that he was victimized for carrying out his official duties and orders of his direct boss and confirming the truth of the matter when they were asked by the EFCC.

 

That before all the above earlier stated, he has at all time material served the Defendant diligently and has been the Company Secretary to Mainland Cargo Options Limited, one of the subsidiary companies of the defendant and his name so appears in the Corporate Affairs Commission documents as the Company Secretary and that he also exercise oversight role over the Legal Department of the Defendant, a responsibility given to him by the Management of the Defendant; that he has been the Chairman of various disciplinary panels constituted by the Defendant since 2012 - 2017 to investigate and try alleged misconducts by some staff of the Defendant in the discharge of their official duties and in line with the Defendant's Staff Handbook. So, he is aware in his capacity how the employment of the Staff of the Defendant could be terminated; that as a senior Management Staff, a member of the Defendant’s Senior Management Meeting (SMM), (the highest policy-making and implementation organ of the defendant), and at various times Chairman of disciplinary panels constituted by the Management of the Defendant from 2012 - 2017, he strongly say and confirm that the Defendant "has never terminated the employment of any staff, more so a senior Management staff like him without following due process as contained in the staff handbook.

 

That in situations where staff had their employment terminated by the Defendant, there must have been proven cases of misconduct on the part of the affected staff and such cases must have been handled by a disciplinary panel duly constituted by the Management of the defendant and that such staff must have appeared before and be heard by the panel, and his appointment would be terminated if found guilty; that in his case, the Defendant has not followed due process as enshrined in the staff employment handbook governing his employment contract before attempting its purported termination of his appointment; that he knows as a fact that his employment contract has not been determined in any way or form in line with the law and his contract and that as a senior Management staff, he is entitled to:

 

i.                    a monthly salary of N541,388.03. This changes with each step of his annual increment and promotion.

 

ii.                 That he is also entitled to other allowances such as: Housing Allowance – N1,381,402.20 (One Million, Three Hundred and Eighty-­One Thousand Naira, Four Hundred and Two Naira, Twenty kobo) only per annum.

 

iii.               Performance Based Pay - Nl,359,484.46 (One Million, Three Hundred and Fifty-Nine Thousand, Four Hundred and Eighty -Four Naira, Forty-six kobo) only.

 

iv.               Leave/Passage Allowance - N924,998.65 (Nine Hundred and Twenty-four Thousand, Nine Hundred and Ninety-Eight Naira, Sixty-five kobo) only per annum.

 

v.                  Profit share - N596,055.57 (Five Hundred and Ninety-six Thousand, Fifty-five Naira, fifty-seven kobo) only (This allowance is paid to every staff after the Annual General Meeting of the company. The amount changes according to the profit made by the company during the preceding year).

 

vi.               Foreign Holiday Allowance - N168,548.40 (One Hundred and Sixty-eight Thousand, Five Hundred and Forty-eight Naira, Forty kobo) only.

 

That when he joined the services of the Defendant, he was placed on a Managerial scale: M501, and was later promoted to M401 and presently attained M404 and that his job role increased with his promotion; that some of his documents including his promotion letter, are locked up in his office by the Defendant and that sequel to the meeting he had with the Acting Managing Director, Mrs. Folashade Ode, and Mr. Ahmed Bashir Gulma, Head, Corporate Services, on Friday 11th August, 2017 where he was informed by the duo of the Board's instruction that he should resign his appointment forthwith or be disengaged forcefully from the employ of the Defendant. As a result of this information, he went to the Lagos office of the EFCC the next working day being Monday, 14th August, 2017 with a letter complaining to the EFCC how the Defendant had resolved to victimize him by terminating his appointment because of the statement he made supporting the assertion of his boss, Mrs. Ode, that the sum of $375,000 united states Dollars was taken from their office and delivered to Alh. Suleiman Yahyah in Abuja at the instruction of his boss, Mrs. Ode and that on hearing his narratives and reading the letter, Mr. Garba Dugum, Head of Operations, Lagos asked him to wait while he sent for the investigating team in charge of the Nahco plc case; that he waited accordingly all through that day, Monday 14th August, 2017 at the EFCC office and was unable to report to his office and that he was there until EFCC wrote a letter which was signed by the head of Operations, Lagos, Mr. Dugum who instructed officials of the Commission to deliver the letter at Nahco Plc headquarters the following morning, being Tuesday, 15th of August, 2017 and at this point he was asked to go and report back to his office the next working day.

 

In his reply to the statement of defence; the claimant averred that he was appointed the substantive Secretary of Mainland Cargo Options Limited (a subsidiary of the Defendant) by the Board of Directors of the Defendant about September, 2014 in accordance with the policies and instructions of the Defendant; that in the Defendant's Secretariat, Mrs. Ode is the Company Secretary, he comes after Mrs. ode then followed by Mrs. Laitan Ashipa; that  Mrs. Ode is the Company Secretary of the Defendant as well as Company Secretary to Nahco Energy and Power Ltd while he is her second and Company Secretary to Mainland Cargo Options Limited (another subsidiary of the Defendant and Mrs. Laitan Ashipa is the third in the hierarchy at the Secretariat of the Defendant and Company Secretary to Nahco Free Zone Ltd (another subsidiary to the Defendant); that it is his responsibility to interface with the Shareholders of the Defendant, arrange venues for Annual General Meeting (AGM), take care of Regulatory Agencies, Board of Directors and Shareholders in attendance, arrange their accommodations and transport for their logistics, the custodian of the Register of Shareholders and he has been attending the Annual General Meeting (AGM) of the Defendant since 2011 when he joined the Defendant except the AGM of 2016 held at Abuja in July, 2017 where he was barred on the instruction of Alhaji Suleiman Yahyah the former Board Chairman of the Defendant.

 

That he personally attended the meeting convened by Mrs. Ode and Mr. Gulma where the two Officers informed him to put in a resignation (forcefully) of his appointment in line with the "instruction from the Board of Directors" who were being teleguided by the former Chairman of the Defendant and that it was this very meeting that informed his letter to the Economic and Financial Crimes Commission (EFCC) informing it of the evil intention of the Defendant to terminate his appointment; that his official laptop has no technical fault and re-emphasized that he was at the EFCC's Office throughout the day on 14th August, 2017 and did not go to his office at all on the said day and that he was not allowed to access my office again as my secretary was reassigned and my office door locked; that it was the plan of the Defendant to make him and his family go hungry, at least since he has his money in the hands of the Defendant, demanded for the payment of same to be alive to fight his purported terminated contract with the Defendant and that it is not a crime to demand for what he own that is in the hand of the Defendant.

 

That the purported letter of termination dated 14th of August, 2017 is not valid and has no force of the law to terminate my valid contract with the Defendant; that the Defendant has breached the conditions of service upon which he was employed and has only showed mere intention to terminate his employment having not followed the laid down terms and conditions and due process governing the said contract.

 

Under cross examination by the defendant’s counsel, CW stated that in his statement at EFFC, he was not given the statement written by other invitees to read; that he could recall instructing Vitalis Opara, a staff in the H/R department of the defendant to collect his terminal benefits via cheque.

 

There was no Re-Examination by the claimant’s counsel. The claimant thereafter closed his case.

 

The defendant opened its defence by calling its sole witness, Sunday Ajiboro Ayodeji, a Senior staff in the Human Resources and Organizational Development of the defendant wherein he adopted his witness statement on oath as evidence in this case. The defendant’s witness statement on oath is that he knows that the Claimant is no longer an employee of his Company (NAHCO) as his employment in NAHCO was terminated by letter dated 14/8/2017 and that the claim by the Claimant that he was next in rank to the Company Secretary and being the de facto Deputy Company Secretary of the Defendant is completely in the imagination of the Claimant as the Claimant was just the secretary of Mainland Option Cargo Limited, a subsidiary of the Defendant; that the Claimant was never a de facto Deputy Company Secretary as the powers to appoint a Company Secretary and or Deputy Company Secretary is the prerogative of the Board of Directors as provided in the Companies and Allied Matters Act (CAMA) and the job role of the Claimant which was duly served and acknowledged by him does not indicate by any stretch of imagination that he was the Deputy Company Secretary; that the entry salary of the Claimant was the annual sum of N5,197,933:93 less N532,125:00 same being transport allowance as the Claimant was entitled to an official car as was clearly stated in the letter of Offer of Appointment dated 16/2/2011.

 

That NAHCO gave the Claimant a Letter of Recommendation dated 3/6/2014 for exactly what is stated on the face of the letter and not as a general approval of the satisfactory and meritorious services of the Claimant to the Defendant; that Alhaji Suleiman Yahyah, being a non-executive Director of NAHCO, never interfered with the daily running of the Defendant while he was the Chairman of the Board and that Alhaji Yahyah resigned from the Board effective from 7/10/2017 due to ill-health and since then the former Chairman had ceased to attend Board meetings of the Defendant either as an observer or as a member of the Board; that all contracts of services executed by NAHCO are geared towards supplying necessary services required for the smooth running of the Defendant and filling perceived gaps for improved efficiency of the Defendant's system, and the management support agreement with Rosehill Limited is one of such contracts. That the Management Support Agreement with Rosehill Ltd was the decision of the Board and Management of NAHCO for the supply of technical services to the Defendant so as to ensure improved profitability and increased return on investment for its numerous shareholders; that Alhaji Suleiman Yahyah was not forced to resign his seat as the Chairman of NAHCO as a result of the Economic and Financial Crimes Commission's (EFCC) investigation but voluntarily resigned effective from 7/10/2016 in order to attend to his deteriorating health and since his resignation, he has not attended the Defendant's Board Meetings nor participated in any of the decisions of the Defendant.

 

That the management of NAHCO never received any order from Alhaji Yahyah or any other Director for the termination of the Claimant's employment nor was the termination of the Claimant's employment a subject of deliberation at any Board Meeting of the Defendant and that NAHCO, being a Public Limited Liability Company, was managed daily by the executive management headed substantively by Mr. Norbert Bildermann at the time material to this suit and the decision to terminate the Claimant's appointment was taken by the management in line with the Contract of Employment of the Claimant; that following the Defendant's internal and external advert for the vacant Company Secretary position, it received numerous applications from interested individual and corporate applicants including the Claimant and Mrs. Uloma Okoro, who was at that time the Head of Legal Services at the Defendant Company and after the conclusion of a thorough selection process, the Defendant selected/appointed Messrs Mahmood Dikko and Associates to provide secretariat services to NAHCO; that while the selection process lasted, the Defendant's Board of Directors appointed Mrs. Laitan Ashipa, who is a Senior Manager and the substantive Company Secretary at one of the Defendant's subsidiary companies, NAHCO Free Zone Ltd, to act as the Company Secretary of the Defendant with effect from the 18th September, 2016 and the claimant was at no time adjudged the best candidate for the then vacant post of Secretary to the Company.

 

That the Claimant was never instructed to serve as substantive secretary to any Committee of the Board of Directors as there was a substantive Company Secretary or at least an acting Secretary for the Defendant for the entire time that the Claimant was with the Defendant and that the Management of NAHCO did not receive any instruction from Alhaji Suleiman Yahyah or the Board restricting the attendance of the Claimant at the 2016 Annual General Meeting as the 2016 Annual General Meeting was not part of the role of the Claimant and the Claimant is not in the category of persons who are mandatorily required to attend the Annual General Meeting of the Defendant Company; that the erstwhile Managing Director and Chief Executive Officer of NAHCO voluntarily resigned his appointment and he issued a three (3) months advance notice of his resignation on the 17th of May, 2017 in line with his contract of employment and that it is not true nor correct to state that Mr. Bieldermann left the shores of Nigeria on Friday, 11th August, 2017 as the notice of termination issued by him only took effect on the 31st August, 2018.

 

That no meeting was held between Messrs Ode and Gulma of the Defendant, on the one part, and the Claimant and state that if such conversation was to take place it would have been driven by him as the Head of Human Resources and Organizational Development, as he was, at the material time, the officer responsible for managing staff affairs in the Defendant; that it is not possible to know what transpired in the Office of the EFCC and that the relationship between the Claimant and the Defendant is solely governed by contract which is determinable at will by the parties to the contract; that he acknowledged EFCC's letter of the 14/8/2017 but states that as a Public Limited Liability Company NAHCO reserves the right/discretion to manage its affairs for the advancement of the course of its shareholders within the ambit of the law and contracts signed with its numerous contractors and staff members; that NAHCO responded to the letter from EFCC vide its own letter of 15/8/2017 wherein the EFCC was informed that the Claimant's employment was terminated in line with his Contract of Employment and not in connection with the investigations embarked upon by the EFCC.

 

That currently, the Governance and Stakeholders Department which was solely manned and managed by the Claimant since the time he was employed into NAHCO has been closed and expunged from the Company's organogram and that the contract of employment between the Claimant and the Defendant can be terminated in accordance with the Letter of Employment dated 16/2/2011 which was accepted by the Claimant on the 28/2/2011, by either party provided one-month advance notice is issued by the terminating party. Alternatively, the contract may be validly terminated when the terminating party pays two months’ salary in lieu of notice; that the Defendant did not lock the Claimant's official laptop on the 15th August, 2017 or at any other day and Defendant is not aware of the development that the Claimant had any technical fault on his computer; that the Claimant came to work for the last time on the 14th of August, 2017 following the Claimant's refusal to receive the service of the Letter of Termination of employment on the 14th August, 2017, the Defendant then decided to send the letter through registered post (DHL Courier services) on the 16th of August, 2017. That the employment of the Claimant was terminated strictly in accordance with his Contract of Employment dated 16th February, 2011 through a letter dated 14th of August, 2017 which was duly signed by Mr. Wole Eniafe, the Head, Human Resources & Organizational Developments on behalf of the Management.

 

That the Claimant was paid two months’ salary in lieu of notice (N221,732.58) and an ex-gratia payment of the sum of N2,080,753.28 via the defendant’s Skye Bank Cheque number 00005581 dated 22/11/2017 and that the ex -gratia payment was based on the magnanimity and discretion of the Defendant's Management as he was not entitled to same by virtue of his Contract of Employment. That based on the Defendant's Letter of Termination dated 14th of August, 2017, the Claimant demanded for all his entitlements and same were paid to him in accordance with his instructions and also based on the e-mail dated 22/11/2017, the Claimant demanded for the immediate payment of his contributions to the Retention Benefits Scheme which can only be accessed when a staff is disengaged from the system, which he also duly received from the scheme; that no known law nor principle of employment was breached by NAHCO in disengaging with the services of the Claimant and that its action does not in any way amount to unfair labour practices nor run contrary to the Defendant's Condition of Service; that the Claimant is not entitled to any of the reliefs claimed by him in the Statement of Facts or at all and prays that the suit herein be dismissed in its entirety and cost of this defence be awarded against the Claimant to the tune of N5,000,000:00 (Five Million Naira) only.

 

Under cross examination by the claimant’s counsel, DW said that he is not the maker of exhibit MM4 and confirmed that the name or designation of the person that signed the document is not stated; that there was no disciplinary panel set up for the claimant as there was no allegation against the claimant. DW confirmed the claimant’s name as the company secretary in exhibit MM19.

 

There was no re-examination by the defendant’s counsel. The defendant thereafter closed its case.

 

The parties were directed to file their final written addresses. The defendant’s final written address is dated 16th January, 2024 but filed 19th January, 2024 while the claimant’s final written address is dated 25th February, 2024 but filed 4th March, 2024. The defendant’s Reply on point of law is dated 19th March, 2024 but filed 20th March, 2024.

 

Learned counsel on behalf of the defendant formulated five (5) issues for the court’s determination viz:

 

1.      Whether the Claimant possesses the locus or standing to institute this action.

 

2.      Whether the Claimant has been able to prove that his appointment was terminated in breach of the contract of employment between both parties.

 

3.      Whether the Claimant has been able to prove his entitlement to an order of reinstatement.

 

4.      Whether the Claimant has been able to prove his entitlement to the various orders prayed for in his Statement of Facts.

 

5.      Whether in totality, this suit is not deserving of an order of dismissal and punitive cost against the Claimant for frivolously and maliciously instituting this suit.

 

It is the defendant’s counsel on issue one (1) that where an employee receives his terminal benefits after his employment is brought to an end, he cannot be heard to complain later that his contract of employment was not properly determined, this is because the acceptance of payment by the employee renders the determination mutual; that estoppel by conduct in accordance with Section 168 of the Evidence (Amendment) Act, 2023, operates to disqualify the Claimant from approaching the Court for additional benefits based on improper determination of his employment and that the Claimant cannot be allowed to approbate and reprobate at the same time, having abandoned or waived his right to make the claims as he has done herein. He cited the case of Atanda v. Iliasu (2013) 6 NWLR (pt. 1351) 529 at 551 and urged the honourable court to so hold.

 

On issue two (2); counsel posited that the law acts in accordance with reason and any prayer or argument seemingly unreasonable will and indeed should be rejected by the honourable court; that the Claimant fully acted upon the strength and legality of Exhibit MM 4 by demanding and receiving his terminal benefits and entitlements,( Exhibits MM 13, MM 14 and MM 15) and upon the enjoyment of all outflows of Exhibit MM 4, would the honourable court allow the Claimant to now posit that Exhibit MM 4 was illegal, null and void? that the honourable court should not permit the Claimant to approbate and reprobate.  That the claimant has failed woefully to adduce evidence in proof of his claim that the termination of his contract was in breach of the contract of employment between himself and the Defendant. He cited the case of Katto v. CBN (1999) 6 NWLR (pt.607) 390 and urged the honourable to resolve the issue against the Claimant.

 

On issue three (3); counsel submitted that the question of restoring an employee whose appointment had been terminated to his employment does not arise in cases of employment without statutory flavour because no servant can be imposed by the honourable court on an unwilling master, even where the master's behaviour or motive for getting rid of the employee is wrongful, unjustifiable, unfounded or repulsive. He cited the case of Ajayi v. Texaco Nig. Ltd (1987) 3 NWLR (pt. 62) 577.

 

On issue four (4); counsel submitted that the Claimant cannot claim damages for wrongful dismissal implying that his service with the Defendant has come to an end, and at the same time claim a declaration that he has never left the service of the Defendant. That in a claim for wrongful termination, the measure of damages is prima facie the amount that the Claimant would have earned had the employment continued according to contract. Where, however, the Defendant, on giving the prescribed notice (as in Exhibit MM 4), has a right to terminate the contract before the end of the term (see Exhibit MM 1), the damages to be awarded, apart from other entitlements, should be limited to the amount which would have been earned over the period of notice.

On issue five (5); counsel submitted that this action was instituted as an effort at gold digging and same is completely frivolous without any redeeming features and should be dismissed with punitive cost awarded against the Claimant.

 

Learned counsel on behalf of the claimant formulated three (3) issues for the court’s determination viz:

 

1.      Whether the termination of the Claimant as a Company Secretary by the management of the defendant does not amount to Ultra Vires the Power of the Company and therefore null and Void having regard to Section 333 of the Company and Allied Matters Act 2020.

 

2.      Whether it can be said that the letter dated 14/08/2017 terminating the Contract of employment of the Claimant, which Said letter was Signed "For management" by the Defendant without the name and designation of the person who Only Signed his Signature, is a Valid document in the eyes of the law.

 

3.      Whether the acceptance of Salary and other benefits by an employee whose employment has been terminated Constitutes a waiver of the right of the Claimant to Contest his right in Court of Law, even though, he does not know that his termination was void.

 

On issue one (1), the claimant’s counsel argued that the act of the defendant terminating the Claimant’s employment who is a Company Secretary under the defendant amounts to Ultra Vires the Power of the Defendant as it is the exclusive reserve of the Board of Directors to remove or terminate the Secretary's employment; that the CAMA 2020 has laid down procedures on how to remove a Company Secretary but in the instant case the defendant failed to follow the steps laid down at S.333 (2) but rather, the DW at paragraph 14 of his evidence confirmed that the employment of Claimant was terminated by the management of the Defendant; that it is beyond argument that termination of the appointment of the Claimant is in direct contravention of Section 333 and Section 44 of CAMA LFN, 2020, the Statute Creating the office of the Company Secretary which also recommends how to remove him. He cited the case of Orji v. Zaria Ind. Limited (1992) 1 NWLR (Pt. 236) 124 and urged the honourable court to so hold.

 

On issue two (2); counsel submitted that the importance to identify a signature by name and designation of the person who owns the signature cannot be over-emphasized; that the signature of the defendant and the termination letter Exhibit MM4 are not valid in law and it therefore renders Exhibit MM4 invalid, null and void; that whatever is not valid or nullity is nothing in the eyes of the law as it has no force of law and is like it never existed. He cited the case of SLB Consortium Limited V NNPC (2011) 9 NWLR (PT 1252) p. 317 @ 27 (SC) and urged the honourable court to so hold and resolve issue 2 in favour of the Claimant and against the defendant.

 

It is the claimant’s counsel submission on issue three (3) that the claimant herein whose contract is terminated and yet collected his salary under frustration cannot be said to be a waiver of his right of action when he does not even know that his termination was nullity neither is the Claimant the law court to decide on his own what he feels is right when the law court has not made any pronouncement; that they do not require any consideration with regard to the reasons adduced by the claimant and his appointment as a Company Secretary that has placed him above the ordinary Master/Servant relations.  

 

On Reply on point of law to the claimant’s final written address, the defendant’s counsel submitted that the employment of the claimant does not become one clothe with statutory flavour simply because the office of a secretary, generally is recognized under the Companies and Allied Matters Act; that the fact that the statute recognizes the position of a secretary does not mean, by any stretch of the meaning thereof, that the appointment of this Claimant enjoys statutory protection; that admittedly, he intermittently acted in the capacity of the secretary of the company, he was never confirmed as the substantive secretary and that the Claimant's position as the secretary of a subsidiary of the Defendant is not the same thing as the secretary to the company. He cited the case of Fakuade v. O.A.U.T.H. (1993) 5 NWLR (pt. 291) 47.

 

That the right to complain about the vaunted irregularities in Exhibit MM 4 was waived by the Claimant and that it is on record that the Claimant unequivocally demanded for payment instead of insisting that the termination of his employment was wrongfully and improper and that the Claimant cannot claim not to know that he had the right to make the waiver. He is a legal practitioner and knowledge of the law and his rights under the employment contract can safely be ascribed to him. That it is trite law that ignorance or lack of knowledge is not an excuse.

 

I have considered the entire pleadings of both parties, the evidence led and the addresses of counsel to both parties, it is clear that the issue for determination is

 

Whether on the entire evidence before this court, the claimant is entitled to his reliefs.

 

From the pleadings and evidence of both parties the following facts are clearly established and are not in controversy between the parties.

 

1.      The claimant was employed on the 1st of March 2011.

2.      There was an investigation of fraud and money laundering by the EFCC.

3.      The management staff including the claimant were invited by the EFCC.

4.      The claimant’s employment was terminated on the 14th of August 2017.

5.      The claimant was paid his salary in lieu of notice and some other entitlement.

 

A summary of the facts herein will reveal that the claimant was employed as Governance and Stakeholder Manager and was later promoted due to his hard work. That a petition was written against the former chairman Alhaji Yahyah whereupon the EFFCC invited the management staff including the claimant to ascertain their role in giving to the chairman the sum of $375.000. The claimant asserted that he took the money to the chairman and given the role he played, he was victimized and his employment terminated and states that his employment is governed by statutory flavor. The defendant did not agree with the claimant on the reason and mode of termination as it was a mere master servant relationship. The claimant’s claim is for a declaration that the termination of his employment is wrongful, that the employment still subsists, payment for his entitlements from the date of termination of his employment till judgment and order of the court for N1, 000,00 for punitive damages. In proof of his case, the claimant tendered the following documents offer of employment (exhibit MM1) letter of commendation (exhibit MM2), investigation of activities by EFFCC (exhibit MM3), Services no longer required (exhibit MM4), Staff handbook (exhibit MM5), Internal Memo (exhibit MM7),  Internal memo (exhibit MM9), Email (exhibit MM11 – MM14),  Letter to EFCC (exhibit MM16), Offer of employment (exhibit MM16), Photocopy of cheque (exhibit MM18), CAC form 2.1 (exhibit MM19).

 

There is no dispute that the claimant was employed by the defendant. His letter of employment exhibit MM1 tendered as exhibit MM17 by the defendant starts with the following

 

We are pleased to offer you employment as Governance & Stakeholders Manager on Nahco scale M501. Your employment is for a probationary period of six (6) months with effect from 1st March 2011. 

 

The claimant has claimed that his employment is with statutory flavor by reason of promotion to secretary of the board. There is nothing before the court to show he was secretary to the Board. The claimant did not plead on the employment having statutory flavour. The claimant without pleading same would in his final written address in paragraph 3.07 submit that the company secretary is the only employee of a company whose employment is coated with statutory flavor, that the office is created by statute and protected by statute citing Ezekwere v Golden Guinea (supra).  He submits in his final address in paragraph 3.12 thus

 

We respectfully submit that the act of the defendant terminating the claimant who is a company secretary under the defendant company amounts to ultra vires the power of the defendant as it is the exclusive reserve of the Board of Directors to remove or terminate the secretary’s employment.

The defendant contended that the claimant was never appointed as the company secretary save for one of the defendant’s subsidiaries and that the employment is not within the ambit of statutory employment stating that the provisions for determining whether an employment is with statutory flavor or not as the employment is not made pursuant to any statute. The law is settled that in employment governed by statute, procedures for employment and discipline, termination (including dismissal) of an employee are clearly spelt out, whereas any other employment outside the statute is governed by terms under which the parties agreed to be master and servant. For an employment to be held to have statutory flavor the following conditions must be met: 1. The employer must be a body set up by statute and secondly, the establishing statute must express provisions regulating the employment of the staff of the category of the employee concerned. The question is does the claimant’s employment have statutory flavor or was the employment under agreed terms between the parties as master and servant? See Idoniboye - Obu v N.N.P.C (2003) NWLR Pt (805)589 where the Supreme Court held as follows '' conditions of service which will give statutory flavor to a contract of service cannot be matter of inference. They must contain conditions which are expressly set out by statute. The rules and regulations which are claimed by an employee to be part of terms and conditions of his employment, or capable of giving it statutory flavour and be of protection to the employee must have

 

1.      Statutory reinforcement, or at any rate be regarded as mandatory.

2.      Be directly applicable to the employee for the protection of that employment.

3.      Have been breached in the course of determining the employment before it can be relied on to challenge the validity of that determination.

 

Continuing on the definition of Employment with statutory flavor Niki Tobi JSC defined it as ''An employment is said to have a statutory flavor if the employment is directly governed or regulated by a statute or section or sections of statute delegate power to authority or body to make regulations or conditions of service as the case may be. See FRSC v Orunmuyi (2016) LPELR – 40150 (CA).

 

One thing is clear that the claimant who did not plead the issue of his employment being statutory flavored but raised the issue of statutory flavor at the address stage, the court in   CCB v Onyekwelu (1999) LPELR-12639 (CA) held that address of counsel is based on pleaded facts. Therefore, where facts are not duly pleaded counsel cannot introduce them in the course of address. After all, the facts belong to the party, what belongs to counsel is the law. The Supreme Court has stated in clear language the purport of a written address in Obodo v Olomu & Anor (1987) 6 SCNJ 72 at 79 as follows

 

The purport of the address by a party is to let the court know and the adversary know what is summing up is on the facts and law. it is right to point out here that as important as address may be, cases are decided on credible evidence. No amount of brilliance in an address can make up for the lack of evidence to prove and establish a case or else disprove and demolish point in issue

 

I therefore hold that the claimant’s appointment is not with statutory flavor.

 

Relief 1 is for a declaration that the termination of the appointment is contrary to his contract of employment, wrongful, malicious null and void and constitutes unfair labour practice.  The issue to be resolved here is how the claimant’s employment was determined, Exhibit MM4 is the letter of termination by the defendant and is dated 14th August 2017 and states thus

 

This is to inform you that your services are no longer required by the Nigerian Aviation handling company. The disengagement is with immediate effect.

 

It follows that the termination was with immediate effect. The defendant did not give reasons for his dismissal but simply put that his services are no longer needed.  In paragraph 32 of the amended statement of facts, the claimant averred that as a senior management staff, the defendant company has never terminated the employment of any staff Moreso, a senior management staff like the claimant without following due process contained in the staff handbook. The claimant did not refer to any portion of the employee handbook to show the breach caused by the defendant in termination. The law is that he who asserts must prove. See sections 131(1) & (2) and 132 of the Evidence Act 2011, Atufe v Oghomienor (2004) 13 NWLR (Pt 890) 327, Ajayi v Attorney General of Ogun State & Ors (2008) LPELR -8568 (CA). In an employment relationship the terms of the contract govern the contract. The claimant noted that the letter for termination does not contain the reason for the termination as an employer is bound to state reason. At common law, in a master/servant relationship devoid of statutory flavor, an employer has the right to terminate. See Osisanya v Afribank (Nig) (2007) 6 NWLR (1031) 565 AT 587 D-E. However, where conditions of service exist between the employer and employee the provision are binding on them. In an action for wrongful termination the employee has the onus to place before the court the terms and conditions of employment and prove in what manner the terms were breached by the employer, it is from the terms of agreement which is binding on both parties that a court would determine the rights of the parties thereto.

 

The claimant referred to the employee handbook exhibit MM5 which is the staff handbook. On termination of appointment the clause provides the employment of any employee may be terminated for gross misconduct, with appropriate notice or payment in lieu of notice.  Exhibit MM4 did not state the reason for termination but simply ‘for services no longer required’ The claimant in paragraph 33 of the amended statement of facts stated that for termination there must be proven cases of misconduct on the part of the affected staff. The claimant’s employment was not terminated based on misconduct. Where an employee alleges that his master has wrongfully terminated his employment, it is his duty to prove that he was wrongfully removed from office. See Nigeria Airways v Gbajumo (1992) 5 NWLR (Pt 244) 735. On when the termination of employment is deemed to be wrongful, the court in U.B.N V Chinyere (2010) 10 NWLR (Pt 1203) 453 CA held that an employment can only be said to have been wrongfully terminated if it was done contrary to the conditions governing the particular contract of service or in a manner not contemplated by the stipulations in the conditions of service. Under cross examination DW testified that there was no allegation of gross misconduct against the claimant.  I find and hold that the termination of the claimant’s employment is not wrongful, the claimant was paid salary in lieu of notice. The claimant’s reference to unfair labor practice cannot hold as he did not canvass anything in support. 

 

There is a more important aspect of the termination that the court will determine and that is if the claimant’s termination is not a direct correlation from what transpired between the claimant and some management staff that led to being invited to the EFFCC office. The claimant had averred in paragraphs 7, 8, 11, 12, 13, 14 and 19 of the statement of facts

 

7.The claimant avers that sometime in July 2016, some operatives of the Economic and Financial crimes commission (EFCC)raided the corporate headquarters of the defendant here in Lagos, based on a petition written against the former chairman of the board of Directors of the defendant company ALH SULEIMAN YAHYAH.

 

8. That the petitioners alleged that the former chairman of the board of Directors of the defendant Alh Sulaiman through his company ROSEHILL GROUP was defrauding the defendant of huge sum of money through a management service Agreement which is serving the defendant no practical purpose but as only a conduit – pipe to siphon money from the defendant.

 

11. That during the raid by the Economic and financial crimes commission (EFCC) operatives, various offices were ransacked mainly those of the company secretary, finance department, as well as the internal Audit and compliance among others and carted away many official documents from the offices.

 

12. The claimant avers that consequently, the former chairman of the board of Directors of the defendant, ALH Suleiman YAHYAH, some members of the board and management staff of the defendant, including the claimant were invited to the office of the economic and financial crimes commission at Ikoyi Lagos for interrogation.

 

13. The claimant further avers that ALH SULEIMAN YAHYAH was detained by the EFCC) for upwards of 20 days and he (claimant) was also detained for 2 days.

 

14. The claimant avers that his travail started when the EFFCC operatives inquired about the contents of two documents in which it was shown that a total sum of $265,000 was signed by him (claimant).

 

19 The claimant avers that the secretary to the defendant under caution at the economic and financial crimes commission confirmed that the said $375,000 was delivered to Alhaji Yahyah through the claimant in line with her (Secretary) instruction.

 

The defendant in response to the above paragraphs in the statement of defense averred thus

 

10. The defendant denies the averments in paragraphs 7, 8, 9, 10, 11, 12, & 13 of the statement of facts and emphatically state that Alhaji Suleiman being a non- executive Director of the company never interfere with the general running of the defendant while he was the chairman of the Board. Alhaji Yahyah resigned due to ill health effective 7th October 2016 and since then the former chairman has ceased to attend Board meetings of the Defendant either as an observer or as a member of the Board.  

 

12.The defendant vehemently denies paragraph 14, 15, 16. 17. 18. 19 and 20 of the statement of facts. The defendant is not aware of the transaction described in the referred paragraphs especially as the process depicted by the claimant in those paragraphs are alien to the operations of the defendant.

 

In all of these the defendant denied what the claimant described that the petition by an unknown person, the management staff including the claimant were all invited based on allegation of fraud.  Below is the part of the letter to the defendant (exhibit MM3).

 

 The Managing Director

  NAHCO PLC

 

 Attention: Head Legal Dept

 

 

INVESTIGATION ACTIVITIES

RE. ONGOING INVESTIGATION OF FRAUD AND MONEY LAUNDERING

 

Information has it that some of your management staff who were interrogated and released on bail to your legal officer in the ongoing investigation are being victimized and relieved of their job without any recourse to the commission

 

in view of the above you are requested to confirm all affected management staff whom you took on bail are still in your services and are not being forced to live so as to jeopardize the outcome of our investigation. however, in the event there is reason for any of them to leave kindly contact us before such decision to enable us arrange an alternative bail condition pending the outcome of the investigation.

 

The above letter was written on the 14th of August 2017 and the claimant’s employment was terminated the same day. Having considered the entire evidence before me, it is my view and I so hold that the defendant terminated the employment of the claimant as it is merely master and servant. Apart from a letter from the EFCC, there is no other document tendered. The claimant devoted most of his time in his pleadings to the encounter with the EFCC and in the final address. What the claimant fails to realize is that in master servant relationship, each party is at liberty to determine the employment just as the employer has no right to deny the employee from resigning if he wishes to do so.

 

The claimant’s next relief is for a declaration that the letter of termination is invalid. His contention is that while it is signed, there is no name on it. As this court held in Jinadu v Esurombi -Aro (2009) ALL FWLR (Pt 483) 1231. (2009) NWLR (Pt 1145) 55, that documents that do not bear signatures of their makers should attract little or no weight.  The said document was signed. The defendant did not deny the document emanating from them as it is written on the defendant’s letter headed paper, under cross examination DW confirmed that the head of HR wrote the letter. The law is that in master and savant relationship where no name is appended to the signature does not make the document invalid.  The Employment being master and servant does not require that a particular person has to sign the letter of termination to make it valid. The employment was validly terminated.

 

The claimant was paid his entitlement which he collected as shown in exhibit MM14 which is an email to the defendant on a call through Mr. Vitalis and he instructed the cheque be paid into his First Bank account. Exhibit MM18 is the cheque he collected from the defendant. by Ekaegwu v Nigerian Army (2006) LPELR-7641 (CA) held that where an employee accepts salary on payment after employment is brought to an end, he cannot be heard to complain that his contract of employment was not properly determined. The court in Julius Berger v Nwagwu (2006) LPELR-8223 (CA) held that where an employee received his terminal benefits after his employment is brought to an end, he cannot be heard to complain later that his contract of employment was not properly determined. This is because the acceptance of payment by the employee renders the determination mutual. In effect reliefs 1 and 2 cannot be granted. 

 

The next relief is for an order of the court that the claimant’s employment contract with the defendant still subsists. The claimant has prayed for A Declaration that the Claimant's employment with the Defendant not having been validly terminated, the Claimant is entitled to his salary and other entitlement until his employment is validly terminated by the Defendant. The claimant’s employment was terminated and no longer an employee of the defendant. Once the employment is determined as per the agreement between the parties, it is immaterial to begin to look for other reasons as to why he was dismissed. The claimant was paid his full salary despite working for only 10days of the month.  To me, the contract of employment was validly determined. In Odiase v Auchi Polytechnic (1998) 4 NWLR 546 477 the court relied and adopted the observation of Parker L.J in Vine v National Dock Labour Board (1956) 1 ALL E.R 1 @ 13 thus

 

So far as contract between master and servant is concerned, it would be quite impossible, whatever a servant said he desired to grant a declaration that in effects he was still in the employment of the master.

 

It is my view that the claimant in this case cannot therefore be granted a declaration that he is still in the employment of the defendant and is not entitled to salary after termination.  The claimant is aware of the termination hence, the averment in paragraph 35 of the amended statement of facts that the purported termination of his employment is borne out of malice, hatred and victimization because of his refusal to join management in an act of colossal money laundering discovered and established by the EFCC.  On whether where employment is terminated, if parties can treat as subsisting. The court of appeal in Texaco (Nig) Plc v Kehinde (2006) 6 NWLR (Pt 708) 224 CA held thus

 

Whether the dismissal of an employee is lawful or unlawful in a purely master and servant relationship, it has brought the relationship to an end. The parties cannot pretend that the relationship continued, because it was wrongly brought to an end. The court cannot therefore force a willing servant on an unwilling master.

 

Relief 4 is for an order of the court that all salaries, allowances, emoluments and benefits of the claimant be paid to him by the defendant from the date purported termination till the determination of this suit. The court in Umoh v I.T.G.C (2004) NWLR (Pt 703) 281 CA held that an employee dismissed in breach of his contract of employment cannot choose to treat the contract as subsisting and sue for account of profit which he would have earned to the end of the contractual period. he must sue for damages for wrongful dismissal. The claimant did not work for this period and his employment was terminated which he confirmed.

 

The next relief is for the sum of N10,000,000 as punitive damages for the defendant’s action which constituted an unfair labor practice, disgrace and contempt to the dignity of the claimant. Exemplary, punitive or aggravated damages where claimed are usually awarded whenever the defendant or defendant’s conduct is sufficiently outrageous to merit punishment as where for instance it discloses malice, fraud cruelty, insolence, or flagrant disregard of the law and the like. See Ellochin Nig Ltd & Ors v Mbadiwe (1986) 1 NWLR (pt 14) 47 (1986) ANLR  1; Shugaba Abdulrahman Derman v Minister of Internal affairs (1981) 2 NCLR 459 (1983)3 NCLR915. The claimant has not shown that he is entitled to punitive damage that is, that the defendants conduct is outrageous. The claim fails and is dismissed.

 

On the whole, the claimant’s claims fail in its entirety.

 

Judgment is entered accordingly.

 

 

 

HON. JUSTICE A.N. UBAKA

JUDGE