N1.5bn Suit Against Sterling Bank Dismisses, As Ex-staff Ordered To Repay N8.16m Loan

The Ibadan, Oyo state division of the National Industrial Court (NICN) has dismissed in its entirety a suit filed by a former staff of Sterling Bank Plc, Mr. Ishmael Adesina Sanni, challenging his dismissal from the bank and seeking over N1.5 billion in damages.

Apart from dismissing the suit, Justice Yakubu Muhammad Hassan, also ordered Ishmael to repay his outstanding loan balance of N8.16 million to Sterling bank

In dismissing the suit and ordering the Ishmael to pay the outstanding debt, Justice Hassan in a judgment delivered on July 30, 2026, in the suit marked NICN/IB/102/2020, held that the claimant failed to prove that his dismissal was wrongful, unlawful, malicious or in breach of the terms of his employment.

Sanni through his lawyer, A. D. Abiona, had asked the court to declare his dismissal unlawful, alleging that Sterling Bank falsely accused him of misconduct and maliciously petitioned the police in an attempt to recover debts. 

He also sought payment of N2.5 million in alleged unpaid salaries and entitlements, N500 million as damages for wrongful dismissal and violation of his fundamental rights, N1 billion for alleged defamation, as well as interest and legal costs.

The former banker had argued that the allegations against him, including claims that he sold a vehicle acquired through a bank loan without authorization, were unfounded and that the police invitation subjected him to humiliation.

In response to the suit, Sterling Bank Plc through its lawyer, U.S. Ngugah, filed a preliminary objection and a counter-claims to the suit.

Specifically, Sterling Bank prayed to order the claimant to pay the sum of N8.16 million which he allegedly owned the bank.

Delivering judgment in the suit, Justice Hassan ruled that an employee alleging wrongful dismissal bears the burden of proving the terms of employment and demonstrating how the employer breached those terms.

The judhy found that although Sanni tendered his employment documents, he failed to establish how Sterling Bank violated the conditions governing his employment.

The judge also rejected the claim that the bank violated the claimant’s fundamental rights by reporting him to the police, holding that citizens and corporate bodies have a civic duty to report suspected crimes to law enforcement agencies.

According to the judge, there was no credible evidence showing that the bank acted maliciously or went beyond merely lodging a complaint with the police.

Consequently, Justice Hassan held that all the claimant’s ancillary claims, including damages and unpaid salary claims, automatically failed after the principal reliefs were dismissed.

On Sterling Bank’s counterclaim, the jut upheld the bank’s claim for recovery of outstanding staff loan obligations, finding that Sanni admitted obtaining several loan facilities and acknowledged during cross-examination that he still owed the bank.

The judge therefore ordered the claimant to pay Sterling Bank N8,164,521.07, million representing the outstanding balance on the various loan facilities.

However, the judge dismissed the bank’s claim seeking a refund of N3.39 million allegedly paid to the former employee after his dismissal, holding that the bank failed to provide sufficient evidence that the payment was made. Claims for general damages and interest were also refused.