Court reduces ICPC’s powers to freeze bank accounts, limits orders to 72hrs

A Federal High Court in Abuja has curtailed the Independent Corrupt Practices and Other Related Offences Commission’s (ICPC) power to freeze bank accounts, ruling that such orders can only remain valid for 72 hours unless extended by a court.

This decision overturns the ICPC Act’s provision, which had previously allowed the commission to freeze accounts for up to one year, a duration the court described as “unreasonable” and susceptible to abuse.

Delivering judgment in the case filed by the Lawyers Network Against Corruption (LNAC), Justice James Omotosho emphasized that while citizens’ rights to own property are not absolute, freezing accounts for extended periods without judicial oversight infringes on fundamental rights and can lead to grave injustice.

The ruling came in response to a suit filed by Abuja-based lawyer Ezenwa Anumnu on behalf of LNAC, challenging the ICPC’s unilateral actions in freezing accounts without court orders.

The LNAC argued that the ICPC and its Chairman had overstepped their powers by instructing banks and financial institutions to freeze accounts indefinitely.

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The suit pointed out that such actions violated Section 36 of the 1999 Constitution, which guarantees a fair hearing, and called for the nullification of Section 45(1) of the ICPC Act for its inconsistency with constitutional provisions.

Justice Omotosho, in his ruling, noted that while law enforcement agencies must have the tools to investigate corruption effectively, the ICPC’s unilateral powers under the current Act could easily be misused.

He cited the constitutional right to fair hearing, stressing that account holders must have the opportunity to defend themselves before any punitive measures are enforced.

The judge rejected ICPC’s argument that account freezes automatically lapse after 12 months and can be varied by the ICPC Chairman, stating that such an extended freeze “may cripple personal or commercial interests” and cause significant harm, particularly if investigations fail to produce criminal charges.

Drawing comparisons with the Money Laundering Act, which empowers the Economic and Financial Crimes Commission (EFCC) to freeze accounts for 72 hours, Justice Omotosho reasoned that the ICPC must operate under similar constraints to strike a balance between anti-corruption efforts and citizens’ rights.

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He remarked, “Freezing an account for up to one year is totally unreasonable and usurps the powers of the Court. This power is liable to abuse, and as the saying goes, power corrupts and absolute power corrupts absolutely.”

While acknowledging the urgent need to combat corruption, the judge clarified that any freeze orders issued by the ICPC must expire after 72 working hours unless renewed through a court application.

This ruling, Justice Omotosho explained, would enable enforcement agencies to safeguard funds suspected to be proceeds of crime while ensuring judicial oversight prevents abuse of power.

The judgment has been hailed as a significant win for constitutional rights, ensuring that anti-corruption efforts do not override the principles of justice and due process.

Legal analysts note that this decision sets a precedent for balancing citizens’ property rights with law enforcement agencies’ powers to investigate financial crimes effectively.