POTRODOM INTERNATIONAL PVT vs IMPERIAL ALLOYS GHANA LTD & ANOTHER

Per the Writ of Summons and Statement of Claim filed on 8th April 2019, Plaintiff Company claims against the Defendants jointly and severally the following reliefs:

1. Recovery of the sum of Five Hundred and Ninety Thousand, One Hundred and Sixty-Five Ghana Cedis (GH¢590, 165.00) being the outstanding balance owed and due Plaintiff by virtue of the Sale Credit Agreement entered into on 8th August 2018.

2. Interest on the sum of Five Hundred and Ninety Thousand, One Hundred and Sixty-Five Ghana Cedis (GH¢590, 165.00) at the prevailing bank rate from 3rd January 2019 till date of final payment.

3. Cost inclusive of legal fees.

In the Statement of Claim attached to the Writ of Summons, Plaintiff Company entered into an agreement with 1st Defendant company to make payments for and on behalf of 1st Defendant Company for scrap metals supplied it by local suppliers.

The agreement was for 1st Defendant Company to liquidate and repay all payments made by Plaintiff Company into a designated account together with the amount of GHC100.00 per every metric ton of scrap metal within 15 days after Plaintiff Company effects the payment.

2nd Defendant who is the Managing Director of 1st Defendant Company gave a personal guarantee to be liable for the debts of 1st Defendant Company in the event of a default.

All cheques issued by 1st Defendant Company as repayment for its indebtedness to Plaintiff were all dishonoured by the bank on grounds of insufficient funds.

That 1st Defendant company is presently indebted to Plaintiff in the sum of Five Hundred and Ninety Thousand, One Hundred and Sixty-Five Ghana Cedis (GH¢590, 165.00); for which both Defendants should be jointly and severally held liable.

Defendants in their Statement of Defence filed on 29th July 2019 alleged that based on the said agreement, 2nd Defendant was to decide on the quantity and quality rate of the scrap goods to be supplied by Plaintiff company to the 1st Defendant company.

That 2nd Defendant issued cheques in Plaintiff Company’s favour as deposits against the supply of scrap metals.

That although Plaintiff company failed to supply the scrap metals in conformity with the preferred and agreed quality, 2nd Defendant made a total commitment of One Hundred and Seventy Thousand Ghana Cedis (GH¢170,000.00) to Plaintiff company; which occasioned a considerable decline in 1st Defendant company’s business.

2nd Defendant alleges that he had to countermand the post-dated cheques he issued to Plaintif