ECS Non-Compliance: NSITF Gets Garnishee Order against Medical Centre

 

The Nigeria Social Insurance Trust Fund, NSITF, has secured a garnishee order against Sonabel Medical Centre Port-Hacourt. 

The Garnishee Of Nisi was given by the National Industrial Court of Nigeria, Port-Hacourt Division recently against the medical centre subsequent to an earlier judgement In favour of the Fund ordering the medical centre to enroll it's workers in the Employees' Compensation Scheme, ECS and to pay the sum of forty million, one hundred and seventy three thousand, three hundred and thirty eight naira, and eighty seven kobo (N40,173,338:87).

The Nigeria Social Insurance Trust Fund, Port Harcourt Region through its Port Harcourt Branch instituted a legal action against Sonabel Medical Centre "over the

company’s repeated and willful refusal to comply with the Employees’

Compensation Act, 2010." 

The ruling by the National industrial court,  further stated that, "Since 2016, NSITF made several efforts to secure compliance from Sonabel

Medical Centre with respect to statutory contributions under the Employee

Compensation Scheme, which is designed to provide compensation to

employees who suffer work-related injuries, disabilities, or death. 

However,the company ignored all efforts and persistently refused to comply with its

obligations under the law."

The ruling also states  that, "As a result, the NSITF Port Harcourt Region, through its Port Harcourt Branch

Office initiated legal proceedings with suit number NICN/PHC/62/2024. The

court, upon reviewing the merits of the case entered judgment in favour of

NSITF in the sum of Forty Million, One Hundred and Seventy Three Thousand,

Three Hundred and Thirty Eight Naira, Eighty Seven kobo (N40,173,338.87)."

"In a bid to enforce this Judgement, the legal officers initiated Garnishee

proceedings and secured a Garnishee Order Nisi, leading to the freezing of

Sonabel Medical Centre’s Bank accounts pending the hearing for the Order

Absolute." it concluded

Though the Employees Compensation Act, ECA, 2010 which established the Employees Compensation Scheme, ECS, provided for enforcement, the NSITF has always favoured persuasion over enforcement, resorting to the latter as last option.

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