A Federal High Court sitting in Lagos has restrained the Financial Reporting Council of Nigeria, FRC, and its executive secretary and CEO, Mr. Jim Obazee, from taking any action, sanction or measure against KPMG Professional Services and Mr. Ayodele Othihiwa, a Partner in the firm, pending the hearing and determination of the suit filed by the applicants.
The interim order by the trial judge, Justice Ibrahim Buba, was sequel to an application argued before the court by Chuka Ikwuazo, urging the court to restrain the respondents from taking any sanction and also order an accelerated hearing of the suit, now adjourned till November 12, when the respondents must have been served all the ‘originating processes’ in the matter.
The order was the second granted by the court against the FRC, within 48 hours.
On November 4, Justice Buba also ordered the FRC to maintain the status quo in a related case filed by Stanbic IBTC.
KPMG and its Partner had filed an application for the enforcement of their fundamental rights following the FRC letter of October 26, which it called a final notice and its ‘regulatory decision’ conveyed in another letter of October 30, on the financial statements of Stanbic IBTC Holdings Plc for 2013 and 2014.