Order 40 — Receiver

(1) An application for the appointment of a receiver may be made by motion on notice.

(2) An application for an injunction ancillary or incidental to an order appointing a receiver may be joined with the application for the order.

(3) Where the applicant intends to apply for the immediate grant of such an injunction, he may do so ex parte on affidavit in an appropriate case.

(4) The Court hearing an application under sub-rule (3) of this rule may grant an injunction restraining the party beneficially entitled to any interest in the property.

(1) Where a judgment is given, or an order is made directing the appointment of a receiver, then, unless the judgment or order otherwise directs, a person shall not be appointed a receiver in accordance with the judgment or order until he has given security as specified in Form 24 in Appendix 6 to these Rules.

(2) Where, by virtue of sub-rule (1) of this rule, or any Judgement or order appointing a person named to be a receiver, a person is required to give security in accordance with this rule, he shall give security as specified in Form 25 in Appendix 6 to these Rules, as may be approved by the Court duly to account for what he receives as a receiver and to deal with it as the Court directs.

(3) Unless the Court otherwise directs, the security shall be by guarantee or, if the amount for which the security is to be given does not exceed twenty thousand naira, by an undertaking.

(4) The guarantee or undertaking shall be filed in the Court registry.

A person appointed a receiver shall be allowed such proper remuneration if any, as may be fixed by the Court.

(1) A receiver shall submit accounts as specified in Form 26 in Appendix 6 to these Rules to the Court at such interval or on such date as the Court may direct in order that they may be passed.

(2) Unless the Court otherwise directs, every account submitted by a receiver shall be accompanied by an affidavit as specified in Form 26 in Appendix 6 to these Rules verifying it.

(3) The receiver’s account and affidavit, if any, shall be left at the Registrar’s office, and the claimant or party having the conduct of the proceeding shall obtain an appointment for the purpose of passing the account.

(4) The Registrar shall certify the passing of a receiver’s account.

The Court shall fix the day on which a receiver shall pay into Court the amount shown by the receiver’s account as due from him, or such part of it as the Court may certify as proper to be paid in by the receiver.

(1) Where a receiver fails to attend for the passing of any account of his, or fails to submit any account, make any affidavit or do any other thing which he is required to submit, make or do, he and any of the party to the proceedings in which he was appointed may be required to attend in chambers to show cause for the failure, and the Court may either in chambers or after adjournment into Court, give such directions as it thinks proper including where necessary, directions for the discharge of the receiver and the appointment of another and the payment of cost.

(2) Without prejudice to the provisions of sub-rule (1) of this rule, where a receiver fails to attend for the passing of any account or fails to pay into Court on the date fixed by the Court any sum shown by his account as due from him, the Court may disallow any remuneration claimed by the receiver in any subsequent account and may, where he has failed to pay such sum into Court, charge him with interest at the rate of (10) per cent per annum on that sum while in his possession as a receiver.