FINANCE & LEASING LTD VS LILIAN DEDE TAGOE

The Plaintiff, a Non-Bank Financial Institution, claimed against the Defendant an amount of GH¢200,000.00 together with interest. It was the Plaintiff’s case that the Defendant offered her landed property as security for a loan granted by the Plaintiff to one of its customers, the Hemo Ke Yeli Society. In addition to this, the Plaintiff stated that the Defendant also executed a personal guarantee in its favour as additional security for the loan.

The Defendant in her defence denied these assertions stating that she had never been a member of the Hemo Ke Yeli Society and therefore could not have given her property as security for any loan this society had contracted. She contended that any document purporting to be evidence of the transaction was fraudulent. She said the Plaintiff had no cause of action against her.

The issues set down for trial were as follows:

1. Whether or not the Defendant secured the loan granted Hemo Ke Yeli Kpee Society with her landed property described as House No. 661/18 Abele Link, Swanlake, North Kaneshie, Accra?

2. Whether or not the Defendant executed a Statutory Declaration consenting to use her property to secure the loan for the Society?

3. Whether or not the said Statutory Declaration was fraudulently prepared without the knowledge of the Defendant?

4. Whether or not the Statutory Declaration was voluntarily procured?

5. Whether or not the Plaintiff is entitled to her claims?

The Plaintiff gave evidence through its Head of Recovery and Monitoring. He told the court that the Plaintiff granted to its client, Hemo Ke Yeli Society an amount of GH¢50,000.00. The client was to produce landed security for this loan. Accordingly, the Defendant consented to the use of her property as security for the loan and executed a Statutory Declaration to this effect.

The facility was accordingly granted to the Hemo Ke Yeli Society which subsequently, defaulted on the loan repayments. A suit was instituted against them. After obtaining judgment, the Plaintiff then proceeded against the current Defendant who had guaranteed the loan.

The Defendant in her evidence told the court that she got to know the Plaintiff Company and the Hemo Ke Yeli Society through 2 people namely Rebecca Lartey and Emmanuel Tetteh. These 2 individuals approached her about the possibility of giving them her documents to assist them access a loan from the Plaintiff. She gave them her documents. However upon discussions with her children who were not in agr