Hon. Justice Yakubu Hassan of the Ibadan Judicial Division of the National Industrial Court has ordered a University lecturer, Ola, and his surety to refund a total sum of N34.1 million to Ladoke Akintola University of Technology for breaching a scholarship bond agreement.
The Court held that Ola’s refusal to resume duty after completing his PhD programme abroad constituted a fundamental breach of contract and a violation of TETFUND guidelines.
Justice Hassan ordered Ola and his surety to jointly and severally refund N26,005,786, being tuition fees and living expenses spent on the PhD programme, and an additional N8,169,250 representing amounts received during his study leave, to Ladoke Akintola University of Technology. The sums must be paid within 30 days; failing which, they would attract 10 per cent interest per annum.
From facts, the claimant, Ladoke Akintola University of Technology, stated that Mr. Ola was sponsored under the TETFUND Academic Staff Training and Development intervention to study abroad. As part of the scholarship conditions, he executed a bond agreement, undertaking to return to the university and serve for three years after completing his programme.
The University alleged that Ola had completed his PhD, but falsely represented to the university that he still had extra sessions to run, and has since refused to return to work or submit his certificate.
In defence, the lecturer, Ola, argued that the university violated TETFUND guidelines by paying the scholarship funds into his salary account instead of a domiciliary account. The lecturer claimed the exchange rate fluctuation forced him to take a loan abroad, which necessitated his decision to stay back to work and repay the loan.
Counsel to the lecturer argued that the University failed to comply strictly with the scholarship guidelines and therefore could not enforce the bond agreement.
In opposition, learned counsel to the University, K. A. Lawal, argued that the bond agreement was clear, binding and mandatory, and that parties are bound by the terms they freely entered into.
Delivering judgment, Hon Justice Yakubu Hassan held that the bond agreement clearly obligated Mr Ola to return to the university after completing his programme, noting that the Don admitted receiving the funds and failed to show any formal protest against the mode of disbursement.
Justice Hassan ruled that requests for variation of sponsorship cost after approval were prohibited under TETFUND guidelines, and that, having benefitted from the scholarship, Mr Ola could not evade his obligations under the bond.
However, the Court refused LAUTECH’s claim for N50 million general damages, describing it as unproven.
