G.N. BANK GHANA LIMITED v. MRS OLIVIA NTI KYEREMEH & ANOTHER

First National Savings and Loans Company Limited sued client Olivia Nti Kyeremeh and another to recover an outstanding balance on a facility originally granted as an overdraft and intended to be restructured into a 24month SME loan. The court examined the written Loan Facility Agreement of 31 October 2012 and related documents, including the borrowers deposit of title deeds for Plot No. 13 Block H, Agogo, to secure the debt. Kyeremeh denied signing the acceptance document and argued she had repaid over GH151,283 and that the bank had not converted the overdraft as agreed. Applying evidentiary standards and documentary presumptions, and analyzing both parties bank statements, the court found the restructuring was never implemented, and only GH7,190 was paid during the loan term. Invoking Section 1 of the Loan Recovery Act to reopen harsh moneylending transactions, the court fixed the fair, matured balance at GH143,698. The court rejected a 60% per annum penalty as extravagant and unconscionable, following Ghanaian and common law authority, and awarded interest at the commercial bank rate. It authorized judicial sale of the secured property as an alternative remedy and awarded costs against the defendants.