Company sues CEO of defunct Beige Bank for refusing to pay for land

GUK Company Limited, a real estate developer has sued Mike Nyikanu, the Chief Executive of the defunct Beige Bank Ghana Limited at the Winneba High Court for refusing to make full payment for a parcel of land sold to the bank.

The company, together with  Evans Ohene Ampofo, an indigene and Royal of Gomoa Fetteh Stool sold a 1,000 acre of  land to the bank and Babel Limited for GH¢15 million in February 2015.

The plaintiffs said that the defendants allegedly demarcated the land, in spite of the fact that it had not paid the full cost.

It is the case of the plaintiffs that per the agreement on the land, the defendants were to set off GH¢863,000 from the GH¢15 million being debt owed Beige Capital Savings and Loans by the plaintiffs in 2012.

The plaintiffs stated that parties entered into an undertaking in September 2016 where the defendants gave heavy equipment and buses amounting to GH¢2,866,500 as part payment for the 1,000 acre land.

The defendants averred that the plaintiffs later expressed interest and agreed   to pay GH¢75 million for additional 5,000 acres of land although, plaintiffs had an outstanding GH¢9,760,500 to settle in respect of the 1,000 acre land.

The plaintiffs stated that upon the execution of the agreement and being later shown the heavy duty equipment, trucks and busses by the defendants, they realised much to their chagrin and dismay that almost all the vehicles were old and worn-out and needed urgent repairs.

 The plaintiffs said that the buses and heavy duty equipment were scattered across the country and the plaintiffs had to travel with the defendants to see the equipment.

Because of the rickety nature of these buses and trucks, the plaintiffs said it obtained a loan facility of GH¢500,000 from Messrs LJ Cash Plus Microfinance Limited at Tema in November 2017 and used it to repair the worn-out equipment.

The plaintiffs said that by reason of the aforesaid, the defendants fraudulently deceived and misrepresented to them the state of the vehicles, and which misrepresentations the plaintiffs relied upon to their detriment.

The plaintiffs averred that the defendants have impounded 30 vehicles out of the total 63 vehicles given to plaintiffs by the defendants and that the defendants are bent on reclaiming the remaining ones.

The plaintiffs, therefore, asked the court for a perpetual injunction restraining the defendants, their agents, servants and assigns from forcibly taking over the remaining vehicles.

They urged the court to perpetually injunct or restrain the defendants, agents, assigns and privies from building or continuing development on the land in contention.

The plaintiffs prayed the court for an order directed at the parties to go into account to ascertain how much money has been given the plaintiffs by the defendants.

They also asked the court to order the defendants to pay the plaintiffs the GH¢500,000 plaintiffs used in repairing the alleged rickety vehicles with interest.

Meanwhile, the court has granted an order for substituted service for the plaintiffs to serve the defendants with the writ of summons.   


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