TSA: FG withdraws suit against 7 banks

The Federal Government yesterday withdrew the case it instituted against seven commercial banks accused of violating government’s Treasury Single Account policy.

The affected banks are, United Bank for Africa; Diamond Bank Plc; Skye Bank Plc; First Bank Limited; Fidelity Bank Plc; Keystone Bank Limited; and Sterling Bank Plc.

Justice Chuka Obiozor of the Federal High Court in Lagos had July 20, 2017 granted an interim order in favour of the Federal Government, directing the seven banks to temporarily remit the funds to the TSA.

The Federal Government had alleged that the banks connived with some government agencies to illegally hide in their coffers, a total of $793,200,000, which was meant to have been transmitted to the TSA account domiciled in the Central Bank of Nigeria.

The judge had adjourned till Tuesday for the banks to appear before him to show cause, why the interim order should not be made permanent.

But at the resumed proceedings yesterday, counsel for the Federal Government, Professor Yemi AkinseyeGeorge (SAN), said he had been instructed by the Attorney General of the Federation to discontinue the case in the overall interest of the public.