GTBank’s Innoson Motors Paralysis

GTBank’s Innoson Motors Paralysis

When the CEO of one of the finest banking institutions in Nigeria starts writing politicians, directly, congratulating them, for winning elections, you will agree that everything is not normal. That Innoson Motors will take over GTBank is fake news (sure, Daily Post reported it). But what is not fake news is that GTBank is losing a battle with street fighters. It is better for GTBank to fight Toyota than fight Innoson Motors because even EFCC has no solution on these rugged Nigerian businessmen. Last time I checked, the judge threw out a case against Innoson Motors because its Chairman refused to attend the hearing, and EFCC has been unable to bring him to court. Simply, EFCC gave up and now GTBank thinks it has a chance!

Innoson Nigeria Limited, Nigeria’s indigenous vehicle production company, has instituted a move to take over Guaranteed Trust Bank, GTB, following a ruling by the Supreme Court over the bank’s N8.7 billion indebtedness to the company.

The company’s chairman, Chief Dr Innocent Chukwuma, made the move through a “Writ of FiFa taken over Guaranty Trust Bank PLC for and on half of Innoson Nigeria Ltd” as a result of the Bank’s indebtedness to Innoson Nigeria Ltd.

In a landmark decision on February 27th 2019, the Supreme Court had dismissed GTB’s appeal marked SC. 694/2014- against the judgment of Court of Appeal, Ibadan Division.

Innoson Nigeria Limited, Nigeria’s indigenous vehicle production company, has instituted a move to take over Guaranteed Trust Bank, GTB, following a ruling by the Supreme Court over the bank’s N8.7 billion indebtedness to the company.

GTBank – settle Innoson Motors and move on. You are not helping your brand on this street fight. Premium Times has some contents on this also [pardon my excessive copying]..

On Friday, Innoson claimed its Chairman, Innocent Chukwuma, has been mandated to “take over” GTB after the supreme court dismissed GTB’s appeal against the judgement of the appeal court in Ibadan.

“The Chairman of Innoson Group, Chief Dr. Innocent Chukwuma, OFR has through a Writ of FiFa taken over Guaranty Trust Bank PLC for and on behalf of Innoson Nigeria Ltd as a result of the bank’s indebtedness to Innoson Nigeria Ltd,” the statement said.

“In a landmark decision on February 27th 2019, the Supreme Court of Nigeria dismissed GTB’s appeal — SC. 694/2014 — against the judgment of Court of Appeal, Ibadan Division.

“The Court of Appeal, Ibadan division had in its decision of 6th February 2014 dismissed GTB’s appeal against the Federal High Court, Ibadan Division.

“Thus, the Court of Appeal affirmed the judgment of the Federal High Court, Ibadan Division which ordered GTB by way of Garnishee order absolute — to pay N2.4billion to Innoson with a 22% interest, per annum, on the judgment sum until the final liquidation of the judgment debt. Rather than obey the judgment of the Court of Appeal, GTB approached the Supreme Court to challenge the Court of Appeal’s decision,” the auto firm said.

The company in its statement said a ruling delivered by Supreme Court Justice Olabode Rhodes-Vivour dismissed GTB’s appeal and thus affirmed the concurrent judgment of both the Court of Appeal and the Federal High Court, Ibadan Division.

The ruling, it said, ordered GTB by to pay N2.4 billion to Innoson with a 22 per cent interest, per annum, on the judgment until the final liquidation of the judgment.

“The Judgment debt of N2.4bn has an accrued interest as at today of about N6,717,909,849.96 which results to about N8.8 billion,” the statement said.

“Based on the Supreme Court’s decision of 27th February 2019 the counsel to Innoson, Prof McCarthy Mbadugha ESQ, had approached the Federal High Court, Awka Division for leave to enforce the judgment having obtained certificates of Judgment from the Ibadan Division of the Federal High Court.”

Mr Chukwuma, the founder of Innoson Motors, dragged GTBank to court in 2011, alleging arbitrary charges levelled against him and a string of bank accounts he held at the bank. But GTBank later counter-sued, saying it was Mr Chukwuma who allegedly falsified bank and shipping documents to obtain tax waivers from the Nigerian government.

The bank subsequently referred the matter to the Economic and Financial Crimes Commission (EFCC). The anti-graft office filed criminal charges against Mr Chukwuma at a Lagos court. Last month, he was declared wanted for failing to appear for arraignment in the matter, which is still proceeding separately from the N14 billion arbitrary charges lawsuit currently at appellate levels.

Mr Chukwuma denied the allegations of doctoring shipping documents, saying the matter had previously been investigated by the EFCC and the police both of whom cleared him of any wrongdoing.

He accused GTBank of using law enforcement agencies to hound him and cripple his business, a claim the bank also denied.

Efforts to get GTB’s reaction to the latest development were unsuccessful as of Friday evening.

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