GTBank PLC is insisting that Innoson Group of companies owes the bank. Contrary to a law suit filed by the company claiming N30 billion in damages, findings traced the origin of the case and confirmed that GTBank granted various credit facilities totaling N2,400,000,000.00 (two billion, four hundred million Naira only) to Innoson, to finance the importation of motorcycles and spare parts.
The customer the bank said had the obligation of utilising the said funds for the agreed purpose and ensuring loan repayments as and when due as contained in the contract.
The facilities granted to Innoson, it was gathered, were secured by lien over shipping documents covering the imported goods financed by GTBank; Legal Mortgage over properties located in Calabar, Enugu and Nnewi and Personal Guarantee of Chairman/Managing Director of Innoson, Chief Innocent Chukwuma.
According to confirmed sources from GTBank, Innoson and Chief Innocent Chukwuma however failed to meet repayment obligations due under the facilities. The bank alleged that it discovered that Innoson and Chief Innocent Chukwuma had cleared several consignments of goods financed by the bank without endorsed shipping documents, the originals of which are still in the bank’s custody.
It said upon discovery some of the goods have been cleared, the bank filed a Petition before the Economic and Financial Crimes Commission (“EFCC”) on May 27, 2013, to investigate the matter. Based on the petition, Chief Innocent Chukwuma was invited by operatives of the EFCC, following which he agreed to make monthly payments into Innoson’s account until the full liquidation of the indebtedness to the bank. GTBank claimed that Innoson defaulted in making the agreed payments.
The bank further alleged that in order to frustrate the recovery of the debt bid by the bank against him (Chief Chukwuma) and his company instituted suits at the Federal High Court, Abuja, as well as the Federal High Court, Awka in January 2014 against the Inspector General of Police, the Nigeria Police Force and Investigating Officer(s), seeking declaratory and injunctive reliefs, including orders restraining the Police from commencing proceedings against Innoson and Chief Innocent Chukwuma.
Furthermore, in a bid to stall the Bank’s recovery steps, Chief Innocent Chukwuma and his company Innoson, have continued to institute various suits before various courts, claiming huge sums against the Bank. With no other alternative and to ensure the recovery of depositors’ funds held by Innoson, the bank said it instituted a recovery action against Innoson at the Federal High Court, Lagos.
This is in addition to a winding up action instituted against Innoson by the bank, which is still pending in court. Pursuant to the suit instituted by the bank at the Federal High Court, Lagos, it secured mareva orders against Innoson freezing its bank accounts in all banks in Nigeria in September 2014.
The new N30 billion action filed by Innoson at the Federal High Court, Awka was instituted on the basis of purported damages which it suffered as a result of the mareva orders granted by the Federal High Court, Lagos in favour of the bank. According to some legal experts, this new suit is in continuation of Innoson’s attempts to distract the Bank from focusing on the criminal matter pending with the EFCC and the Police.
The legal experts also interpreted these Innoson’s moves as legal delay tactics antics, to avoid or delay paying its indebtedness and discharging its obligations to the Bank, which stands in excess of N2.4billion, while interest continues to accrue. According to a source in the bank, the recovery of the borrowed funds is to discourage deliberate loan default, uphold integrity and serve the long term interest of depositors and the society at large. From Vanguard.