Alhaji A.R. Animashaun V. University College Hospital (1996)

LAWGLOBAL HUB Lead Judgment Report

BELGORE, J.S.C. 

The appellant was the plaintiff at the trial court. He served in several strata of government pensionable establishments for twenty-four years and seven months. i.e. Teaching Service, Water Corporation and Property Development Corporation, all statutory bodies of former Western Nigeria, and finally with the University Teaching Hospital, Ibadan, a Federal Government Ministry of Health parastatal for 2 years, five months and twenty seven days from where he retired on 29th day of June, 1979.

He claimed he was entitled by way of gratuity to N20,920.73 for the cumulative years of service and that the statutory bodies he served in the old Western Nigeria (and their successors, probably) sent in their contributions as follows:

(i) Federal Government on behalf of former Western Nigeria the sum of N7,845.89; and

(ii) Property Development Corporation the sum of N572.13.

To those sums, the defendant, being his last employer, was to add the sum of N2,562.41. The sums sent by the Federal Government and the Water Corporation were remitted to the defendant to add the sum of N2,562.41 (aforementioned) and pay over to the plaintiff. However, when in 1984 the defendant was to pay the plaintiff this gratuity, the sum of N12,227.41 was deducted. In an earlier letter of 7th June, 1979, the plaintiff (appellant) was told by the defendant that this sum would be deducted from his retirement entitlements as surcharge for an alleged act of gross inefficiency. The appellant replied to this letter denying any act of inefficiency or any wrongdoing to warrant the planned surcharge. Thus when finally the sum of N12,227.41 was deducted from his retirement benefits he sued the defendant claiming as follows:

“(i) Declaration that the defendant wrongfully and unlawfully deducted the sum of N12,227.41 (Twelve thousand two hundred and twenty seven naira, forty-one kobo) from the lawful retirement benefits, (Gratuity and Pension) of the plaintiff.

(ii) The sum of N12,227.41 (Twelve thousand, two hundred and twenty-seven naira forty-one kobo) from the defendant being the amount due to the plaintiff wrongfully and unlawfully deducted from the plaintiff retirement benefits by the defendant.”

The appellant was retired by a letter Exhibit 6 reading as follows:

“Dear Mr. Animashaun,

I am writing to inform you that the Board of Management has resolved that you should be retired from the service of this hospital in accordance with the Civil Service Rules, with immediate effect, for the purpose of facilitating improvements in the Service.

Details of your gratuity and other entitlements including earned and deferred vacation leave, less any indebtedness to the hospital, will be communicated to you in due course.

I am by a copy of this letter informing both the Chief Accountant and the Under Secretary (Establishment) who will take appropriate action.

You will hand over all hospital property to the Assistant Director of Administration, Mr. F.S. Onabowu immediately.”