CONSTANT GLADZAH v. MET CAPITAL GROUP AND GEORGE AFFUL v. MET CAPITAL GROUP
November 30, 2022
HIGH COURT
GHANA
CORAM
- HIS LORDSHIP JUSTICE JUSTIN KOFI DORGU (MR
Areas of Law
- Civil Procedure
November 30, 2022
HIGH COURT
GHANA
CORAM
AI Generated Summary
In the High Court, Justice Justin K. Dorgu ruled on an application by the receivers of Unicorn Happy Investment (UHI) Microfinance Ltd to be joined as a second defendant in consolidated suits against MET Capital Groups Ltd. The suits, initiated in 2020 by Constant Gladzah and George Afful, concern investments allegedly made through MET Capital. The receivers claimed that after the Bank of Ghana revoked UHI’s license, UHI’s assets and liabilities vested in them, and because Afful had managed UHI and dealt with MET Capital, they had an interest in the outcome. Gladzah opposed, asserting any UHI or Afful investment had been assigned to him, leaving no UHI interest, and warning joinder would delay proceedings. Applying Order 4 rule 5(2)(b) of C.I. 47, the court found the receivers were not necessary parties and denied the joinder due to lateness and potential prejudice to timely adjudication.
RULING
In this case, both Plaintiffs are making a simple claim of some investments made by
them with the Defendant MET Capital Groups Ltd. The two cases which were later
consolidated were both initiated in 2020 and have travelled through the processes and
hearing commenced in earnest. As at now both Plaintiffs have closed their cases and
the Defendant was to open their case. It is at that stage that the Applicant herein
describing themselves as Receivers of Unicorn Happy Investment (UHI) Microfinance
Ltd are applying to be joined as a 2nd Defendant to the consolidated suit. The gravamen
of their application is their interest as a Receiver for the Unicorn Happy Investment
(UHI) Microfinance Ltd whose license had been revoked by the Bank of Ghana and
all assets and liabilities of the Microfinance Company transferred by operation of Law
to the Receiver/Applicants. It is the case of the Applicants that, Mr. George Afful, one
of the Plaintiffs who was at all material times the Managing Director of Unicorn
Happy Investment Microfinance Ltd who dealt with the (UHI) Microfinance through
the Defendant and since they have now assumed the assets and liabilities of UHI
Microfinance Ltd, they have an interest in the outcome of the case hence a necessary
party to the action.
The Plaintiff especially the 1st one, Constant Gladzah opposed the joinder arguing that
at the time UHI Microfinance Ltd was taken over, any investment held either on its
behalf or for George Afful as an individual had already been assigned to him. There
was therefore no interest of UHI Microfinance Ltd subsisting and so worth protecting.
Apart from that, the Plaintiff also canvassed the point that the case had travelled far
and a joinder of the Applicant herein will only go to delay the resolution of an
otherwise simple case. They prayed the Court to dismiss the application.
Now, Order 4 rule 5(2) (b) of the C.I 47 provides
“ At any stage of proceedings, the Court may on such terms as it thinks just
either of its own motion or an application
(b) Order any person who ought to have been joined as a party or whose
presence before the Court is necessary to ensure that all matters in dispute in
the proceedings are effectively and completely determined and adjudicated upon to
be added as a party”
The question that arises in this application is whether or not the Receiver of UHI
Microfinance Ltd is a necessary party in the resolution of the case between the
Plaintiffs and