EMMANUEL NANA DABO VS McOTTLEY CAPITAL LIMITED
2019
HIGH COURT
GHANA
CORAM
- HER LADYSHIP, JUSTICE GIFTY AGYEI ADDO
Areas of Law
- Civil Procedure
- Contract Law
- Banking and Finance Law
- Commercial Law
2019
HIGH COURT
GHANA
CORAM
AI Generated Summary
Justice Gifty Agyei Addo of the High Court (Ghana) granted summary judgment for an investor against a financial assets management company concerning a fixed deposit. The investor placed GH280,582.60 in a 365-day fixed deposit on 2 February 2018 at a contractual rate of 32% per annum, with a contractual right to disinvest early. On 7 March 2018, he requested liquidation and repeatedly demanded repayment through the companys Managing Director. The company acknowledged the debt in email and correspondence, proposed installment payments that the investor rejected in favour of a structured payout, but still did not repay. The writ was served in July 2018; the company entered appearance in September yet never filed a defence. Applying Sanunu vrs. Salifu and Order 14 of C.I. 47, the court found no triable issue, entered summary judgment, awarded the principal, contractual interest from 3 February 2018 until termination, post-termination interest at the prevailing commercial bank lending rate, and costs of GH6,000.
On 25th August 2018, the Plaintiff instituted this action against the Defendant for the following reliefs as endorsed on the Writ of Summons and Statement of Claim: a. Recovery for an amount of Three Hundred and Eighty Thousand, Five Hundred and Eighty- Two Ghana Cedis and Sixty Pesewas (GH₵ 380, 582. 60) as at February 2nd, 2018. b. Recovery of interest on the sum of Three Hundred and Eighty Thousand, Five Hundred and Eighty-Two Ghana Cedis and Sixty Pesewas (GH₵ 380, 582. 60) from February 3rd, 2018 at the contractual rate of 32% per annum till date of final payment.
c. Costs.
The gravamen of the Plaintiff’s claim is contained in paragraphs 3 to 9 of the Plaintiff’s Statement of Claim, a summation of which is as follows: According to the Plaintiff, on the 2nd of February, 2018, he invested an amount of Three Hundred and Eighty Thousand, Five Hundred and Eighty- Two Ghana Cedis and Sixty Pesewas (GH₵ 380, 582. 60) in a 365-day fixed deposit facility with the Defendant, a financial assets management company.
That the said investment was due to mature on the 2nd of February, 2019, at an agreed interest rate of 32% per annum.
The Plaintiff further avers that per the terms of the agreement, he reserved the right to disinvest his investment before maturity and demand for repayment.
That on 7th of March, 2018, he wrote to the Defendant requesting that his investment and the interest accrued thereon be liquidated.
The Plaintiff continues that subsequent requests to the Defendant, through its Managing Director, for the full repayment of the monies owed him were not heeded to.
That the Defendant later put up a proposal to pay the amount owed in monthly installments of Sixty-Five Thousand Ghana Cedis (GH₵65, 000) from June, 2018, which he (the Plaintiff) rejected but proposed a demand of an initial payment of One Hundred Thousand Ghana Cedis (GH₵ 100, 000) in May 2018, to be followed by a payment of the outstanding amount in three (3) monthly installments.
The Plaintiff concludes that subsequent demands for the repayment of the investment amount with interest accrued yielded no results, giving rise to the instant action.
The Writ of Summons and the Statement of Claim, per the Court records, were served on the Defendant through its Secretary on the 26th of July 2018. The Defendant entered appearance on 20th September, 2018, through its Solicitor.
The Defendant has to date failed to file a defence to the Plaintiff’s claim.
On 21st January, 2019, the Plaint