The High Court of the Federal Capital Territory has ordered the Economic and Financial Crimes Commission (EFCC) and Zenith Bank Plc to pay a combined ₦4 million to Homadil Realty Limited over the unlawful restriction of its bank account.
The court found that the EFCC acted beyond its lawful powers when it directed Zenith Bank to continue operating a “Post No Debit” restriction on the company’s account without obtaining the requisite judicial authorisation.
Justice M. A. Hassan delivered the judgment on April 23, 2026, in Suit No. FCT/HC/CV/830/2025.
In a ruling that could have wider implications for the exercise of investigative powers by law enforcement agencies, the court held that an initial restriction on a bank account could not automatically be extended indefinitely without judicial approval.
Justice Hassan consequently ordered the EFCC to pay Homadil Realty ₦2 million for what the court found to be an abuse of its powers.
Zenith Bank was separately ordered to pay another ₦2 million for acting on the EFCC’s directives, bringing the total award to ₦4 million.
The court further found that the continued restriction of Homadil Realty’s account infringed the company’s constitutional right to property.
Justice Hassan stressed that government agencies, including law enforcement bodies, must operate within the limits prescribed by law and cannot exercise powers beyond those conferred on them.
How The Dispute Started
The legal battle was connected to an EFCC investigation arising from a petition concerning properties identified as Plot 4022 in Guzape and Plots 1861 and 1862 in Katampe.
The EFCC told the court that its investigation was triggered by a petition submitted on behalf of Colleen Mero Yesufu.
However, Rebecca Omokamo Godwin-Isaac subsequently filed a cross-petition raising questions about the alleged roles of Yesufu, Richard John Idakwogi of Rychado Homes Ltd and Samuel I. Chime in the wider property dispute.
Despite the broader dispute surrounding the properties, the key question before the court was whether the EFCC had obtained the necessary judicial authority to sustain the restriction on Homadil Realty’s bank account.
The court answered the question in the negative.
Justice Hassan held that once the period permitted by law for an initial restriction had elapsed, the EFCC could not simply issue further directives to the bank to maintain the restriction without securing the appropriate court order.
Court Reaffirms Rule Of Law
The judgment reinforces the principle that investigative powers must be exercised within the framework of the law, particularly where such powers affect the property and financial rights of individuals or companies.
The court’s decision also places emphasis on judicial oversight of prolonged restrictions on bank accounts, making clear that executive or investigative directives cannot substitute for judicial authorisation where the law requires one.
For Homadil Realty Limited and Godwin-Isaac, the judgment provides financial compensation for the disputed account restriction and a judicial declaration that the EFCC’s continued action was unlawful.
The ruling also serves as a reminder that the powers of law enforcement agencies, however extensive, remain subject to constitutional safeguards and judicial scrutiny.
Credit: Daily Post except headline
