Supreme Court has ruled in Fidelity bank’s favour and ended a 20-year legal battle with Sagecom.
NaijaOnPoint Nigeria reports that a five-man panel of the Supreme Court, led by Justice Lawal Garba, has ruled in favour of Fidelity Bank in its appeal against Sagecom Concepts Limited, bringing to a close a legal dispute that has lingered in Nigeria’s financial sector for more than two decades.
The apex court’s decision marks a significant victory for Fidelity Bank and provides final clarity on a case that dates back to legacy transactions involving the defunct FSB International Bank, which merged with Fidelity Bank in 2005.
In a motion filed on October 8, 2025, Fidelity Bank approached the Supreme Court seeking clarification on aspects of an earlier judgment. The bank requested that the judgment debt be payable in naira, rather than foreign currency, and that the applicable interest rate be 19.5 percent per annum instead of 19.5 percent compounded daily. It also asked the court to apply the exchange rate in force at the time of the High Court judgment, rather than the rate at the date of payment, in line with the precedent set in Anibaba v. Dana Airlines.
Additionally, Fidelity Bank urged the court to affirm that the judgment sum stood at ₦30.19 billion, with interest accruing at 19.5 percent per annum until full settlement.
In a ruling delivered by Justice Adamu Jauro, the Supreme Court granted the bank’s first three prayers, agreeing that the debt should be paid in naira, that interest should be calculated at 19.5 percent per annum, and that the exchange rate applicable should be that of the High Court judgment date. However, the court declined to grant the bank’s request to fix the judgment debt at ₦30.19 billion and to expressly award interest on that sum until liquidation.
By this ruling, Fidelity Bank’s liability is now to be settled in naira at a simple annual interest rate of 19.5 percent, rather than the earlier daily compounded rate ordered by the High Court. The court’s position on the exchange rate further aligns with established Supreme Court precedent.
The dispute originated from a 2002 credit facility extended to G. Cappa Plc and subsequent legal claims linked to the underlying collateral. Over the years, the case generated widespread speculation, including reports suggesting a potential liability of up to ₦225 billion.
The Supreme Court’s clarification has now dispelled those figures, confirming a substantially lower exposure and validating Fidelity Bank’s long-held position on the matter.
Despite the prolonged litigation, Fidelity Bank’s share price remained largely stable throughout the process, reflecting sustained investor confidence in the lender’s governance standards, risk management framework, and financial resilience.
Industry analysts say the judgment reinforces the bank’s financial strength and underscores its commitment to transparency and responsible corporate governance.
While Fidelity Bank declined to make detailed comments on the ruling, its representatives expressed appreciation to the Supreme Court for providing clarity and final closure to the long-running case.