The Lagos division of the National Industrial Court of Nigeria (NICN), has ordered Polaris Bank Limited to apologise to a former seconded worker, Tayo Wale Oshin, after unlawfully forwarding his name to the Central Bank of Nigeria (CBN) for blacklisting over alleged fraud.
The court, presided over by Justice Joyce A. O. Damachi, in a judgment delivered on July 29, 2026, also ordered the CBN to immediately remove Oshin’s name from its register of terminated, dismissed or convicted staff of banks and other financial institutions on grounds of fraud and dishonesty.
Justice Damachi further awarded N20 million general damages against Polaris Bank in favour of Oshin for wrongful blacklisting, loss of employment and injury to his professional reputation.
Oshin through his lawyer O. C. Olagunju, had instituted the suit, marked NICN/LA/191/2023, against Polaris Bank and the CBN, seeking his delisting, a written apology from Polaris Bank and N100 million damages.
The claimant was an employee of Vic Lawrence and Associates Limited who had been seconded to perform domestic operations in the Dispute and Chargeback Department of Polaris Bank.
The case arose from an alleged N827 million fraud within the bank’s system in November 2020. Following internal investigations and disciplinary proceedings, Oshin resigned from Vic Lawrence and Associates on March 9, 2021.
Polaris subsequently forwarded his details to the CBN, leading to his inclusion on the blacklist.
Oshin said he only became aware of the blacklisting after an employment offer made to him by Network International Payments Services Nigeria Limited in November 2022 was terminated in February 2023 following a failed background check.
In defending the suit, Polaris through its lawyer, C. Maduneme, had contended that Oshin’s password compromise had facilitated the fraud and that reporting his name to the CBN was a mandatory regulatory obligation.
The CBN, on its part, maintained that it acted in good faith based on the returns and compliance declarations submitted by Polaris.
In deciding the suit, Justice Damachi after critically examined all submissions of parties, rejected the bank’s position, finding that Polaris failed to prove the allegation of fraud against Oshin beyond reasonable doubt, as required by Section 135 of the Evidence Act.
The judge also noted that evidence presented during trial showed that the system identification used to access the bank’s system during the fraud belonged to another officer, Stephanie Igbanoi, who was reportedly on leave at the time.
Justice Damachi also observed that Polaris failed to call Igbanoi or another key staff member, Emmanuella Agbu, whose alleged statement had formed part of the basis for the accusation against Oshin.
The judge said the evidence against Oshin was further weakened because Agbu had reportedly retracted her earlier assertion that she shared her password with him.
The court also found that Polaris failed to comply with the CBN’s prescribed fair-hearing procedure for blacklisting. According to the judgment, Oshin was never formally notified that a complaint for blacklisting had been made against him or given adequate opportunity to prepare and defend himself.
The judge held that merely summoning Oshin from his desk to answer a question before a disciplinary panel could not satisfy the requirements of natural justice or the CBN guidelines.
The court further found that Oshin had voluntarily resigned from his direct employer and had neither been dismissed nor terminated for fraud, contrary to the condition required for blacklisting under the applicable CBN guidelines.
Justice Damachi therefore declared the submission of Oshin’s name for blacklisting “wrongful, illegal” and a violation of his right to fair hearing.
The judge thereafter ordered CBN to delist him immediately, while Polaris was directed to issue a written apology within 30 days.
The court also ordered the defendants to comply with the judgment within 30 days, failing which the judgment sum would attract simple interest at 10 per cent per annum until fully liquidated.