In a significant legal battle over ₦579.1 billion in stamp duty funds, the 36 state governors have joined forces with the Central Bank of Nigeria (CBN), the Attorney General of the Federation (AGF), and the School of Banking Honours (SBH) against Kasmal, a company linked to the late Prince Buruji Kashamu.
The dispute stems from a judgment secured by Kasmal at the Federal High Court in Abuja, which directed that the company be paid ₦579.131 billion plus 10% interest from stamp duty collections. However, the state governments, along with the federal institutions, have challenged the ruling, arguing that Kasmal had no verifiable contract with the Nigerian Postal Service (NIPOST) to justify such claims.
Governors Challenge Court Judgment
At the resumed hearing of Appeal Suit No. FHC/ABJ/CS/335/2024 on March 27, 2025, in Abuja, the 36 states, represented by senior legal counsel Prof. Yusuf Ali (SAN) and others, officially joined the appeal against the ruling by Justice I.E. Ekwo. They aligned with legal teams representing the CBN and AGF, led by Chief Adeniyi Akintola (SAN), as well as SBH’s legal team, headed by Chief Oladipo Okpeseyi (SAN).
The states outlined seven key grounds for their appeal, including:
- The case was wrongly heard via an originating summons despite the existence of contentious facts.
- Kasmal lacked the legal standing to make the claims.
- The 36 states were not given an opportunity to be heard, violating their right to a fair hearing.
- The judgment improperly awarded additional payments to Kasmal despite a previous agreement settling its claims.
- Kasmal failed to provide evidence justifying its entitlement to the ₦579.131 billion claim.
- There was no contract presented to support its demand for a 15% commission or 10% interest.
- The ruling lacked factual or legal justification.
SBH Also Challenges Kasmal’s Claims
SBH, a non-governmental appellant with a copyright claim over banking sector stamp duty collections, also challenged Kasmal’s claims. It argued that:
- A 2016 Appeal Court ruling had already nullified Kasmal’s involvement in stamp duty collection.
- Kasmal used an unregistered company, Kasmal Financial Service Ltd, to obtain court orders fraudulently.
- The ₦10.367 billion previously paid to Kasmal was based on false pretenses.
- No valid NIPOST contract was tendered to justify Kasmal’s claims.
Appeal Court to Rule on April 28, 2025
The case, now under intense legal scrutiny, has been adjourned to April 28, 2025, for further hearings. Legal experts and stakeholders await the court’s decision on whether to overturn the judgment in favor of Kasmal or uphold the appeal by the 36 states and federal institutions.
