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Sunday, 24 December 2017

Interesting Key points On The Dispute Between Innoson & GTBank





*Innoson group Vs GTBank : 30 Key Points you need
to know about their dispute
*1* - At all Material time , Innoson Nigeria Ltd operates
a Current Account with GTBank .
*2* - Innoson obtained , and had repaid same , a loan
of N1.3billion from GTB Which was secured with a
legal mortgage of its properties valued at more than
N1.4billion .
*3* - Innoson discovered that GTBank imposed excess
and unlawful charges in its Current account .
*4* Innoson Group Complained to GTBank on his
discovery of access charges on his account .
*5* - Both parties ( Innoson and GTBank ) agreed to
invite an independent auditing firm that will be agreed
by both parties .
*6*- At the end , MULTI-WINGS Consulting Firm of
Auditors was invited to properly audit Innoson Nigeria
Ltd Current account No 0043753636domiciled with
Nnewi Branch of GTBank . The audit covers a period
from March 2004 to Dec 2011 .
*7* - After the account was audited , it was discovered
that GTBank has been illegally deducting excess bank
charges on its overdraft facility to the Innoson to the
tune of seven hundred and Eighty-Six Million, Two
Hundred and Five Thousand , Nine Hundred and Fifty-
Five Naira , Ninety Nine kobo ( N786,205,955.99).
*8* - GTBank was shocked at the audit report when
the report was forwarded to it .They replied in their
letter to Innoson on 20th January , 2012 that it will
investigate the issue raised and will get back to
Innoson on the Conclusion of its investigation .
*9* - In the month of September 2012 , GTBank wrote
to Innoson that from their personal audit report , the
excess bank charges was Five Hundred and Fifty-Nine
Million , three Hundred and Seventy-Two naira ,Nine
kobo ( N 559.3Million).
*10* - Innoson agreed to their version and decided to
accept payment from it in the spirit of amicable
resolution.
*11*- Innoson also requested that the said agreed
amount of N559.3million be paid with a 22% interest
rate because Innoson had been repaying all his loan
with GTBank at 22% interest rate.
*12* - GTBank refused and said that the best they can
repay excess and illegal deduction is at 7% interest
rate . This led to another disagreement between
Innoson and GTBank .
*13* - As a result , in 2012 , Innoson sued GTBank at
Federal High Court Awka with Suit No : FHC/Awk/Cs/
2012 .
*14* - Federal High Court, Awka delivered Judgement
in favour of Innoson in excess of N4.7billion against
GTBank.
Delivering Judgement in suit no : FHC /Awk/ CS /
139/2012 , the FHC awarded N4.7billion to Innoson
Motors against GTBank .
*The court also ordered GTBank to pay 22 % (percent )
interest on the Judgement debt until all the payment
had been made to Innoson .*
*15* - In 2013 , GTBank appealed against the
judgement to the Court of Appeal, Enugu Division,
appoxite appeal No: CA/E/288/2013 .
*16* - The Court of Appeal , Enugu in a Considered
ruling ordered GTBank to pay the Judgement debt of
N6billion Inclusive of the accrued interest and any
interest that would subsequently accrue thereon into
an interest yielding account in the Name of the Chief
Registrar of the Court .
*17* - In its various affidavits, particularly at the Court
of Appeal in suit no : CA/E/288/2013 , GTBank
deposed that if it pays the outstanding Judgement
debt of N6billion , much less the N8.5billion , it could
go bankrupt and be out of business .
*18* - GTBank went to the Supreme Court .The case is
still in the Supreme Court , while the Judgement debt is
about N8billion now to be paid to Innoson by GTBank .
*Another Cases:*
IBADAN Cases : Innoson /GTBank/Nigerian Custom
Service :
*19* - Nigerian Customs Service Auctioned Innoson
goods .
*20* - Innoson challenged the action Nigerian Custom
Service for auctioning its goods at Federal High Court ,
Ibadan .
*21* - On July 29 ,2011, In a Garnishee Order Absolute
, the Federal High Court sitting in Ibadan ordered
GTBank to Pay Innoson #2,048,737,443,67 ( #2billion )
from Nigerian Customs account in GTBank .
*22* - Rather than Comply with the Garnishee Order
Absolute of the Court , GTBank on February 6, 2015
appealed the Judgement , but the Court of Appeal in
Appeal no. CA/1/258/2011 affirmed the Judgement of
the Federal High Court and ordered GTBank to pay the
Judgement debt of #2,048,737,443.67 (#2.048billion)
to Innoson .
*23* - GTBank , instead , appealed to the Supreme
Court against the Court of Appeal's decision where
GTBank claimed through a motion in suit no :
Sc /694/2014, that the Court of Appeal Judgement in
Ibadan (CA/I/258/2011) was procured by suspicious
means .
*24* - On May 12, 2017 , Supreme Court in its wisdom
and rightly , dismissed that unfounded and
exasperating claim of GTB against Innoson .
*25* - As a result , Innoson commenced a N400 billion
suit against GTBank , in the suit No: FCT /HC/
CV/2448/2017 at the High Court of the Federal
Capital Territory, Abuja .
*Another issues
*26* - Consequently , in order to save itself from
paying the outstanding Judgement debts to Innoson ,
the GTBbank filed a petition against Innoson alleging
forgery which led to the suit No : FHC /L/565C/2015
by Police .
*27* - On February 17, 2016 , Police properly and
Competently withdraw the charges against Innoson ,
saying they needed to properly investigate the bank's
complaints first and see if they had merits .
*28* - On September 1 , 2014 , GTBank secured an ex
parte order on Innoson Nigeria Limited, dated
September 1, 2014 with suit no FHC/L/CS/1119/
2014 , filed before a Federal High Court in Lagos ,
between GTBank and Innoson Nigeria Limited , issued
by *Justice Okon Abang* , ordering that , pending the
hearing and the determination of the substantive suit ,
all Commercial Banks in Nigeria were restrained from
accepting in any manner whatsoever to any mandate
or instruction presented to them by Innoson Companies
or any of its agents or nominees for withdrawal of any
sum of money standing to the credit of any account
maintained by the company in all the banks.
*29* - However , on June 10, 2015 , *Justice Saliu
Saidu* of the Federal High Court , Lagos , in a
Considered ruling set aside the ex parte order of
September 1, 2014 , by Justice Okon Abang and the
writ of summon as well .
*30* - Innoson then slammed a N30 billion suit on
Guaranty Trust Bank for what it had suffered in
monetary terms and reputational terms during the
months when the accounts of its companies in all
Nigerian banks were frozen.With Innoson winning both
cases at the High Court and both cases at the Appeal
Court, and GTB appealing, both cases are awaiting the
verdict of the Supreme Court. Meanwhile the fresh N30
billion naira suit has just gone to the High Court to
start its legal journey.
....
In all , Innoson has won two High Court cases and two
Appeal Court cases all against GTBank .
Innoson as at today has Judgement debt over about
N10billion based on 22% interest rate against GTBank
.
*Questions for EFCC
*(i)* Now where is the EFCC coming from in all these ?
*(ii)* Does EFCC actually understand their duties
here ?
*(iii)* Is EFCC by their action not sabotaging Nigerian
economy ?
*(iv)* If EFCC should to arrest any of the parties ,
shouldn't GTBank who dubiously deducted Innoson
money from his account and have debt of about
N8billion to pay Innoson that they should arrest ?

By Ikechukwu Emeka Onyia







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