The Kingdom Bank Corporation v Moorwand Ltd
[2023] EWHC 3069 (Comm)
Stanford Asset Holdings Ltd and another v AfrAsia Bank Ltd (Mauritius)
10 October 2023
[2023] UKPC 35
Privy Council
Someone stole $11 million from a bank account. The bank was told by a court to reveal who got the money, even though banks usually have to keep such things secret. The higher court said the bank had to help find the thieves.
Key Facts
- •Stanford Asset Holdings Ltd (SAH), a Seychelles company wholly owned by a Mauritian company, had US$11,145,000 fraudulently transferred from its account at AfrAsia Bank Ltd in Mauritius.
- •SAH sought disclosure of the recipients' details from the Bank.
- •The Supreme Court of Mauritius dismissed the application.
- •The appeal concerned the interpretation of Section 64 of the Banking Act 2004 regarding banking confidentiality and the applicability of Norwich Pharmacal principles.
Legal Principles
Banking confidentiality is governed by common law and statute in Mauritius.
Mauritian common law and Section 64 of the Banking Act 2004
Section 64 of the Banking Act 2004 imposes confidentiality obligations on individuals, not the bank itself.
Section 64 of the Banking Act 2004
Norwich Pharmacal principles allow for court-ordered disclosure from innocent third parties to assist in tracing wrongdoing.
Norwich Pharmacal Co v Customs and Excise Commissioners [1974] AC 133
Mauritian courts have jurisdiction to grant equitable remedies, including Norwich Pharmacal relief.
Banymandhub v Kwan Chung Woo 1965 MR 102; Dupont v Société Résidence St Clément Court 1998 SCJ 365
Outcomes
Appeal allowed.
The Privy Council held that the Mauritian courts possess a free-standing Norwich Pharmacal jurisdiction, unaffected by Section 64 of the Banking Act 2004. The conditions for a Norwich Pharmacal order were met, and the order was proportionate and necessary to achieve justice.
Disclosure order made.
The Bank must disclose the recipients' details to SAH.
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