CALBANK PLC vs JOSREN VENTURES COMPANY LIMITED & ANOTHER

An originating motion on notice pursuant to Sections 64(1) and 66(4) & (5) of the Borrowers and Lenders Act, 2020 Act, (ACT1052), was filed at the Registry of this Court on 2nd February 2022 by Betsy Asafo-Asamoah, Esq.; Counsel for and on behalf of the Applicant for the following orders:

· An order directed at the Ghana Police Service warranting them to evict the Respondent or any persons in occupation of property described in the instant application.

· An order confirmation of transfer of legal title in the property to a Purchaser pursuant to a memorandum/certificate of realization without Court order (CR7) of the Bank of Ghana’s Collateral Registry issued on August 18, 2020.

One Seyram Baku swore to an Affidavit in Support of the originating motion and the summary of his averments are that the 1st Respondent is a borrowing customer of the Applicant and the 2nd Respondent is a Director of the 1st Respondent and a Guarantor for the banking facilities granted to the 1st Respondent. The Applicant by a facility agreement dated March 2018, granted a short term loan facility of up to USD5,876,789.31 to the 1st Respondent. When the 1st Responded failed to service the facility, same was restructured into a short term loan of USD 6,784,452.40 in November 2018. Despite the restructuring, the 1st Respondent failed to meet the monthly repayment. The Applicant was left with no choice than to obtain a memorandum certificate of no objection order from the Bank of Ghana’s Collateral Registry & dated August 18, 2020 to realize the securities including property described as Plot Nos.: C41 and C42, Butumagyaba Nkroful Planning Scheme (the Property) belonging to the 2nd Respondent. Applicant then issued 1st Respondent with notice of intention to realize the security yet, the 1st Respondent did not make any efforts to settle its debt. The 2nd Respondent and MD of 1st Respondent cannot be contacted. The debt of 1st Respondent stood at GHC70,538,642.79 as at 14th February 2022. Following a Public Auction Sale, the Applicant sold four out of the properties used as collateral for the facility and the monies received by the Applicant was used to reduce the 1st Respondent’s debt. That Applicant also sold the property situate at Plot Nos.: C41 and C42, Butumagyaba Nkroful Planning Scheme to a Purchaser by name Patrick Annan (the Purchaser) and the monies received was used to reduce the 1st Respondent’s debt. It is the case of the Applicant that the Deeds of Assignment have been