The brief facts of the case are that the respondent, a banker, joined the services of the appellant, a commercial Bank, on 2nd April, 1964. That same year, he was promoted as an Accountant and in 1966, a Manager. In the latter capacity, the respondent served the appellant in various branches.

In 1979 however, the respondent who before he commenced his annual leave had given a notice of his intention to voluntarily retire therefrom in September of that year due to ill health, had by a letter addressed to him (vide Exhibit 'C') by the appellant's Chief Personnel Officer purporting to act on the orders of the Board of the appellant, discountenanced the letter of voluntary retirement and proceeded to dismiss the respondent from its services with effect from 31 July, 1979 Exhibit 'C' gave as reasons for the dismissal, the respondent's Irregularities which contravene the provisions of the Banking Decree, and the bank's lending guidelines" Much earlier, DW2 Emmanuel C Ojiako, a banking inspector and a Manager Grade I, had issued queries to two members of the appellant's staff working under the respondent. As a result of the replies he received from them, he issued a query to the respondent (vide Exhibit Q) alleging that the respondent offended against the provisions of the Banking (amendment) Act, 1972 to wit cashing crossed cheques across the counter, over lending and engaging in private business. albeit, he was neither prosecuted nor was evidence of a conviction shown against him. it was against the foregoing back ground that the learned trial Judge therefore ruled in his judgment dated 31st August, 1982 that Exhibit 'C' was wrongful, ineffective, null and void and that the respondent was still in the employment of the appellant. He of his accumulated leave of 305 days and other staff entitlements as well as benefits from August, 1979 to August, 1982 along with general damages of N10,000.00 with costs assessed at N500.00.

Dissatisfied with the judgment, the appellant appealed to the court of Appeal.