Republic V High Court (Fast Track Div) Accra Ex Parte A-G-1
Republic V High Court (Fast Track Div) Accra Ex Parte A-G-1
ACCRA, 2013
DOTSE, J.S.C
CIVIL MOTION
No.J5/24/2012
24thJANUARY,2013
THE REPUBLIC
-VRS-
RULING
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DR. DATE-BAH JSC:
This case raises interesting constitutional issues going to the very heart of the
principle of the rule of law, one of the bedrocks of the 1992 Constitution. The
applicant’s contention that public funds and government property cannot be
attached in execution of judgment debts puts into issue the accountability of the
State to persons who bring action before the courts. The current position
regarding the liability of the State to ordinary people in Commonwealth
jurisdictions has come about through statutory reform of the original common
law position in order to adjust it to the demands of a modern state. The
applicant’s contention raises the issue whether the gains of this reform
movement are to be lost to litigants before the Ghanaian courts.
At common law, originally, proceedings could be brought against the Crown for
breach of contract or restitution of property only after obtaining a fiat from the
Crown and through the procedure of the petition of right. Indeed, in tort, the
Crown could not be sued at all, since “the King could do no wrong”. By the Crown
Proceedings Act 1947 of the United Kingdom, these two antiquated common law
doctrines were abolished and the liability of the Crown was made as near as
possible to that of a private citizen. This reform of abolishing the necessity for a
fiat and a petition of right and the removal of the State’s immunity from suit for
tort made the State and all other legal persons equal before the law, at least in
the formal sense. This is to be contrasted with the regime in many European
States, where a different and separate system of administrative law governs the
relations between the State and other legal persons. Indeed the common
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subjection of the State and other legal persons to the same body of rules was
viewed by Dicey as an important aspect of his conception of the rule of law.
The Crown Proceedings Act 1947 of the United Kingdom is mentioned here
because it has exerted an influence on Ghanaian law as well. Article 293 of the
1992 Constitution, which deals with claims against the Government, clearly
follows in the trail blazed by the Crown Proceedings Act, 1947. It provides as
follows:
“(1) Where a person has a claim against the Government, that claim
may be enforced as of right by proceedings taken against the
Government for that purpose without the grant of a fiat or the use of
the process known as petition of right.
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(3) No proceedings shall lie against the Government by virtue of
paragraph (a) of clause (2) of this article in respect of an act or
omission of an employee or agent of the Government unless the act
or omission would, apart from this article, have given rise to a cause
of action in tort against that employee or his estate.
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(b) any act, neglect or default of an officer of the Government
unless that officer-
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The applicant does not seek to challenge the possibility of the liability of the
State under this Article. Rather, he asserts that, after a court has adjudged
the State or Republic liable, the courts do not have the jurisdiction to make
orders attaching public funds in execution of that judgment. Nevertheless,
it should be said, in relation to the interpretation of the above
constitutional provision, that it differs from the Crown Proceedings Act,
1947, in the sense that it did not make the liability of the Ghanaian State or
Republic equivalent to its liability under the abolished and antiquated
petition of right procedure. It provides simpliciter, in relatively absolute
terms, that where a person has a claim against the Government, that claim
may be enforced as of right by proceedings taken against the Government
for that purpose. This implies that some of the common law case law
thatlimited liability under the petition of right procedure is inapplicable in
Ghana.
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crown. The inconvenience suggested by Sir Hugh Cairns as likely to
arise from so holding, were it necessary so to hold, could practically
have no existence. When not so notified, the occurrence of the
alleged inconvenience – such are known to be the justice and
honour of parliament – is too improbable to induce any of the
Queen’s subjects to forego when the opportunity offers the
advantages of a good government contract. It was beyond the
power of the commissioners, as suppliant must have known, to
contract on behalf of the crown, on any terms but those by which the
covenant is restricted and fenced. I am of the opinion that the
providing of funds by parliament is a condition precedent to it
attaching. The most important department of the public service,
however negligently or inefficiently conducted, would be above
control of parliament were it otherwise.”
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in the same case, there were dicta by Cockburn CJ to a contrary effect,
when he said (at p. 200):
In the Australian case of New South Wales v Bardolph (1934) 52 CLR 455,
the Australian High Court doubted the dictum of Shee J. supra and inclined
towards the dictum by Cockburn CJ. It did so in holding that the Crown can
validly and enforceably promise to pay money. Evatt J. said:
It appears clear that the first part of this passage has not been acted
upon by the Courts in the cases subsequently determined, and that,
even where the contract to pay is in terms “absolute” and the
contract fails to state that the fund has to be “supplied by
Parliament,” the Crown is still entitled to rely upon the implied
condition mentioned by Shee J.
The issue in this present case does not relate to that of initial liability on the
obligation sued on, but rather on whether after a judgment debt has been
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awarded, an execution can be levied against funds of the State not
specifically appropriated for the satisfaction of the judgment debt in
question. The underlying policy issue is, however, similar to that tackled in
New South Wales v Bardolph. It goes to the creditworthiness of the State.
In principle, the plain language meaning of article 293 should lead to the
conclusion that the State or Republic should be subject to the execution of
its funds, since the article does not provide for any legal impediment or
defence, different from that available against private persons, to any claim
by any legal person against the State or Republic . It will be recalled that
article 293 states that where a person has a claim against the Government,
that claim may be enforced as of right by proceedings taken against the
Government for that purpose. This language is plain and expansive enough
to include claims by way of execution against the government or the
Republic. This interpretation is also purposive, since it serves the purpose
of the reforms described at the beginning of this judgment in respect of the
liability of the Crown or (derivatively) the Republic. That purpose was to
make the liability of the Republic as near as possible to that of a private
person.
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examined to determine its validity. To enable that assessment, however, it
is necessary to narrate the facts of this case.
The facts of this case are as follows: the applicant, the Attorney-General,
has applied to invoke the supervisory jurisdiction of this Court to quash the
decisions of the High Court (Fast Track Division), Accra, delivered by His
Lordship Asiedu J. on 6th July 2012 and 6th August, 2012. The grounds of the
application are that:
Before these impugned decisions of the High Court, the interested party
had obtained judgment on 8th June 2012 from the High Court (Fast Track
Division) for an amount of GhC 749,791.62 and nominal damages of GhC
5,000.00, together with costs of GhC 5,000. This judgment debt was in
respect of camouflage uniforms sold and delivered to the Ghana Fire
Service.
The interested party filed entry of judgment on 13th June 2012, but failed to
obtain a Registrar’s certificate in accordance with section 15 of the State
Proceedings Act, 1998 (Act 555). On 6th August 2012, the interested party
obtained an order from the High Court (Fast Track Division) attaching the
funds in the name of the Ghana Fire Service at the Bank of Ghana. In the
meantime, on 6th July 2012, the applicant had filed a Notice of Appeal
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against the High Court’s judgment of 8th June 2012. On 6th July 2012, an
application made for stay of execution of the High Court’s judgment was
refused by the High Court. The applicant repeated his application for stay
of execution before the Court of Appeal. It was while this application was
pending that the High Court granted a Garnishee Order Nisi and a
Garnishee Order Absolute against the Ghana National Fire Service, ordering
the Governor of the Bank of Ghana to pay the interested party/judgment
creditor an amount of GhC 552,369.42 in satisfaction of the judgment debt
obtained against the Ghana National Fire Service.
“It is our humble submission that the courts do not have jurisdiction
to order payments from public funds generally and from the
respective accounts aforesaid.
The purported order of the High Court dated 6th August, 2012
ordering the Bank of Ghana to pay sums from held (sic) in the name
of the Ghana Fire Service in satisfaction of the total judgment debt
of: Five Hundred and Fifty-Two Thousand Three Hundred and Sixty-
Nine Ghana Cedis and Forty-Two Pesewas ()GHC 552,369.42) is illegal
and contrary to articles 177 and 178 of the 1992 Constitution of
Ghana.
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My Lords, all those accounts are public accounts and funds in them
are public funds in terms of Articles 175, 176 and 178 of the 1992
Constitution of Ghana and the High Courts have no jurisdiction to
order their attachment and order release of payment of funds from
these public funds.”
The Articles 177 and 178 referred to by the applicant read as follows:
“177.
178.
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(a) to meet expenditure that is charged on that Fund by
this Constitution or by an Act of Parliament; or
The applicant claims that the Financial Administration Act, 2003 (Act 654)
reinforces his submission on this issue. He cites section 5(1) of the Act,
which states that:
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“(1) In accordance with article 175 of the Constitution, the public
funds of Ghana consist of the Consolidated Fund, Contingency Fund
and such other funds as may be established by or under an Act of
Parliament.”
He also prays in aid section 13 of the same Act which provides that:
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specified objectives and enabling the payment of judgment debts out of
these funds.
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voluntary act of appropriating the necessary funds for their payment. That
would render nugatory the liability to which the State is made subject in
article 293 of the Constitution. The provisions of the Constitution
governing voluntary expenditure of public funds could not have been
intended to govern the extent of the jurisdiction of the High Court and thus
the validity of its orders for the Republic to pay money. A High Court’s
order made within jurisdiction has to be obeyed by the Republic, even if it
entails the expenditure of money beyond what is already authorized under
Chapter 13 of the Constitution. In those circumstances, the Republic’s duty
is take the necessary steps to secure the authorization required under
Chapter 13 to enable it to perform its obligation. An analogy from the
situation with private persons would be helpful. If an individual is adjudged
by the High Court to owe a particular sum of money, it cannot use the fact
that it has not budgeted for that obligation as a defence to execution
process levied against him or her. Similarly, the Republic should not be
able to resist execution process simply because funds have not been
authorized under Chapter 13 to satisfy the judgment debt. The judgment
debt creates an obligation which it is the constitutional duty of the Republic
to satisfy and hence it must comply with the necessary “housekeeping”
rules in order to do so.
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impugned orders and that nothing in the Constitution abridges the
jurisdiction conferred on the High Court under CI 47.
The interested party contends that rule 1 of Order 47 (supra) does not
make any exception in respect of monies belonging to the Republic.
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Accordingly, she urges that the burden is on the party affirming that
garnishee orders cannot affect public funds to show that there exists an
enactment that bars such orders. The interested party’s argument is that
the applicant’s claim that the High Court has no jurisdiction to attach public
funds can only succeed if he can establish that either the jurisdiction of the
High Court is ousted by a provision of the 1992 Constitution which
expressly or by necessary implication takes away the High Court’s garnishee
powers under Order 47 or there is a statute, in conformity with the
Constitution, which, expressly or by necessary implication, takes away this
jurisdiction. Her conclusion is that the applicant has not discharged his
burden of demonstrating the existence of any enactment which ousts the
High Court’s jurisdiction. In our view, this argument is sound, subject only
to the discussion below of the effect of section 15 of the State Proceedings
Act, 1998 (Act 555).
There is no evidence that any such certificate was issued in this case.
Accordingly, a statutory pre-condition to the interested party’s right to
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execution was not fulfilled on the facts of this case. That is fatal to the
interested party’s garnishee order, which therefore has to be quashed, on
the ground that the learned High Court judge lacked jurisdiction to grant it.
In this connection, the words of Archer JA, as he then was, in Republic v
District Magistrate, Accra; Ex parte Adio [1972] 2 GLR 125 at p. 132-3 are
pertinent:
“In the present appeal, the Local Government Act, 1961, has given
district courts exclusive original jurisdiction in all cases where a local
authority wants to sell rateable property in order to defray rates
overdue. The most important power vested in the court so far as the
local authorities are concerned is the power to order sale or to
permit the local authority to take possession. Under the provisions,
the real question in these cases is “when can the city council go to
court?” Can it go to the district court for an order when the statutory
requirements have not been complied with? The answer is no. The
power of the district court to order sale or to order possession is
dependent on the statutory conditions. In other words, the
assumption of jurisdiction to make one of the statutory orders
depends on satisfactory evidence before the district court that the
statutory provisions have been complied with. Whenever there is a
proof of full compliance with the statutory provisions, there is a
mandatory duty on the part of the court to make one of the orders
specified in the Schedule. On the other hand, if the statutory
requirements have not been complied with, the district court has no
jurisdiction to make one of the two orders, because the court has no
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discretion in the matter whether or not to make one of the orders. It
is of vital importance to appreciate that when the term “excess of
jurisdiction” is used, it may mean that from the inception of the case,
the court has no jurisdiction whatsoever because the nature of the
case or the value involved is beyond its jurisdiction. But it may also
mean that although the court has jurisdiction to hear the case, the
orders which the court can pronounce are restricted by statute. If an
order is therefore beyond the powers of the court it is perfectly
correct to say that it has exceeded its jurisdiction. I think it is in the
light of the second meaning that the present appeal should be
considered.”
Applying the approach of Archer JA, we hold that the High Court exceeded
its jurisdiction in this case, when it made garnishee orders, in the absence
of the certificate required by section 15 of the State Proceedings Act, 1998.
Accordingly, in our view the garnishee orders should be brought to this
Court to be quashed and the same are hereby quashed. The application
thus succeeds.
(SGD) W. A. ATUGUBA
(SGD) J. V. M. DOTSE
COUNSEL
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