There is no disputing the fact that a banker/customer relationship exists between the 1st Appellant and the Respondent in the course of which the Respondent deposited his title deeds in respect of his property at plot 9 in block 25 or No. 180 Jubilee Road, Aba with the 1st Appellant for safe keeping, before the outbreak of the Nigerian Civil War. The title deed continued to be in the custody of the 1st Appellant after the said war. As the banker/customer relationship between the parties continued, 1st Appellant, at the request of the Respondent granted credit facilities to the Respondent on two occasions of N10,000. 00 each making a total credit facility of N20, 000.00. This has not been disputed by the parties. There is also no disputing the fact that in the course of that banker/customer relationship the Respondent requested the 1st Appellant to open letters of credit on his behalf for which Respondent contends he used the title deed as security for the transaction and that 1st Appellant duly opened the letters of credit and the transaction was successfully concluded and the charge discharged. The Respondent contends that he never used the title deed as security for the credit facility of N20,000.00 and that the said facility was unsecured. He does not deny owing the money but simply contends that his title deed in issue were never mortgaged to the 1st Appellant as security for the said facility of N20,000.00 but for the letters of credit which transaction was duly completed and the parties discharged.

The first Appellant on the other hand maintains that the mortgage was for the N20,000.00 credit facility as clearly stated in the mortgage deed, exhibit 9 while the Respondent countered that he only signed a blank mortgage deed for the 1st Appellant in relation to the letters of credit transaction. In any event the Respondent did not repay the credit facility of N20,000.00 despite repeated demands as a result of which the property, subject of the alleged mortgage, was advertised and sold by public auction. It was the 2nd Appellant who bought it at the sale resulting in the action by the Respondent, which he lost at the High Court.

Upon appeal to the Court of Appeal, the decision of the High Court was set aside resulting in the instant appeal to this Court.