VICTOR KUSI BOATENG v. COLLINS ADDAE & ANOR
2018
HIGH COURT
GHANA
CORAM
- DR. RICHMOND OSEI-HWERE
Areas of Law
- Contract Law
- Evidence Law
- Corporate Law
- Commercial Law
2018
HIGH COURT
GHANA
CORAM
AI Generated Summary
Dr. Richmond Osei-Hwere adjudicated a dispute arising from a gold trading arrangement between the plaintiff and two defendants. Introduced by Richmond Osei Tutu, the plaintiff transferred USD $100,000 to the defendants joint account at Fidelity Bank, Ahodwo Branch, with an agreed repayment of 2kg of gold per month until the debt was extinguished. After receiving the funds, the defendants became unreachable until a complaint to the Regional Criminal Investigation Department in Kumasi led to their arrest; they promised repayment but did not comply. The defendants characterized the funds as an investment for a partnership with profit sharing and payments to an agent and farmers. Preferring Exhibit A and corroborating witnesses, and noting the absence of any registered partnership under the Incorporated Private Partnerships Act, the court held it was a loan and entered judgment for US$100,000 plus interest and GH8,000 costs.
JUDGMENT
By an amended writ of summons dated 19th May 2016, the Plaintiff claims the following reliefs:
(a) Recovery of cash the sum of One Hundred Thousand Dollars (USD $100,000) being loan defendants took from the Plaintiff to enhance their gold business on the 15th day of April, 2013, which the Defendants have failed to repay to the Plaintiff despite several and repeated demands.
(b) Interest on the said amount at the current bank rate from the 15th day of April, 2014 till date of final payment.
The Plaintiff’s Case
It is the case of the Plaintiff that the Defendants were introduced to him by one Richmond Osei Tutu when the Plaintiff expressed interest in the gold trade. He stated that in the course of discussions with the Defendants, they asked for a loan of One Hundred Thousand Dollars (USD $100,000) to invest in their business which had gone down and that the money was advanced to the defendants in return for 2kg of gold per month in repayment of the loan till the loan is paid off. The money was transferred into the account of the defendants as evidenced by Exhibit A. That after the grant of the loan, the Defendants could not be traced. According to the plaintiff, he later got into contact with the Defendants and admonished them to adhere to the terms of the agreement. After the said conversation, the defendants disappeared again. That he lodged a complaint with the Regional Criminal Investigation Department of the Police Service, Kumasi and the Defendants were arrested about a year later. Upon arrest, the Defendants promised to repay the loan but have since failed hence the present action.
The Defendant’s Case
The defendants denied liability to the claim. They stated that they are partners in the gold mining trade and that they had challenges which led to the collapse of their mining operation. That the Plaintiff was introduced to them by one Mr Osei Tutu. It is their case that they had discussions with the Plaintiff upon which he (the plaintiff) invested in their gold mining trade. It is also the case of the Defendants that they together with the Plaintiff opened a joint account at Fidelity Bank Ahodwo Branch and transferred an amount of USD $100,000 into the account and that out of the USD $100,000, GHC5,000.00 was paid to the agent Mr. Osei Tutu upon the instruction of the Plaintiff. Also, GH18, 000.00 was paid to farmers as part of social commitment and compensation.
The defendants also stated that although production was low, whatever g