Radix Pension To Pay Ex-MD Unpaid Severance Packages, Court Rules

The National Industrial Court sitting in Ikoyi, Lagos, has ordered Radix Pension Managers Ltd to pay its ex-managing director, Kunle Adeboye, a total package of N57 million and $21,000, over its inability to pay the claimant’s entitled severance packages, backlog of salaries and arrears, among others.

In a judgement paper sighted by LEADERSHIP, the company will now pay it ex-boss: N15 million for Status car prorated over three years; N25.8 million severance pay; N3 million economy class ticket to UK for three years; vacation estacode of $21,000; N813,543 for club membership and 2017 medical of N200,599.89.

Others include: 2020 Leave allowance of N412,166.60; 2020 medical of N618,249; 2020 Passage of N618,249; 2021 Q1 quarterly allowance of N1 million; three months base salary in lieu of given notice of N1,030,416.51; deducted salary for five months between April and August, 2020 which was N2,734,392.80; unused annual vacation of N5,462,784.63 and 2021 3 months prorated allowance of N417,812.72.

Radix Pension Managers Ltd is a Pension Fund Administrator (PFA) licensed by the National Pension Commission (PenCom).

In a judgement delivered on November 19, 2024, by Justice R.H. Gwandu, the court granted all the 14 reliefs brought before it by the claimant. The claimant, a former managing director of the PFA, who voluntarily resigned from the PFA, was alleged to have cited issues of corporate governance as reasons for his resignation.

Findings at the industrial court revealed that the PFA has over 11 ligations against it before the industrial court between the periods of 2019 to 2021. The litigations, brought by ex-staff of IGI Pensions, the legacy PFA acquired by Radix Capital Partners, the major investors, also centered on failure to honour severance agreements, after the new investors, Radix Capital Partners, had assured the National Pension Commission(PenCom) of its intention to pay within few days of obtaining regulatory approval.

The law firm of renowned human rights lawyer, Femi Falana and Funmi Falana,  represented the claimant in a suit that lasted close to four years. Taiwo Olawanle, of the Falana Chambers, disclosed that, it was a clear and simple case that shouldn’t have necessitated any legal brig brat, as their client was reluctant in pursuing any court case at all from the onset.

He informed that all efforts through correspondences from the chamber to Radix Pension Managers were treated with levity, compelling the claimant to approach the court. Before and during trial, very considerate concessions were given by the claimant, which the PFA failed to embrace to bring closure to a simple contractual obligation it owed.

One of the ex-staff of IGI, with similar unpleasant experience with the Radix brand, who reacted on this matter said, it was a classic case of ‘go to court!’ by the PFA: a colloquial expression of ‘do your worst’ in local parlance. She said her severance pay was not up to N3 million, but she had to join a class action to seek justice. Justice, she said, came for her in staggered payments over a period of five years after the Radix Capital Investors had assured PenCom of meeting the obligations.