GTBank Kicks as Innoson Motors Seals 4 Branches to Enforce N8.8Bn Garnishee Ruling

Matilda Omonaiye/

The management of Guarantee Trust Bank (GTB) has faulted the alleged attack by agents of Innoson Nigeria Limited against some of its branches today under the guise of executing a purported Supreme Court Garnishee order on the bank.

The indigenous car manufacturing company had today claimed it has obtained a court order that allows it to take control of the bank.

NewsmakersNG learnt that representatives of the company had attempted to seal off two of the the bank’s branches in Awka and another in Nnewi, in Anambra State.

Innoson officials also stormed the Rangers Avenue branch of the bank in Enugu to enforce the purported order.

But GTB in a statement says it was “taking all necessary legal steps to address the situation and ensure that no illegal or fraudulent illegal execution is carried out”.

The statement signed by its Company Secretary, Erhi Obebeduo, also clarifies that the judgment was in respect of “Garnishee Proceedings against the Nigerian Customs Service Board domiciled with the bank and not against the bank as an entity”.

Innoson Motors had claimed that it obtained a writ of Fifa from the Federal High Court in Awka, Anambra State, against GTB to implement the judgment given by Nigerian courts over the lingering crisis between it and the bank.

The company in a statement signed by its spokesperson, Cornel Osigwe, said a judgement given by the Federal High Court in Ibadan was upheld by the Supreme Court of Nigeria.

A Writ of Fieri Facias (or Writ of Fi Fa) is a document issued by the court for the purpose of effecting court judgment on a debtor’s property. It is also the legal instrument by which the assets of a judgment debtor may be seized.

Innoson and GTB have for long been locked in legal tussles following disagreements over a business deal.

Innoson claimed its Chairman, Innocent Chukwuma, has been mandated to “take over” GTB after the supreme court dismissed GTB’s appeal against the judgement of the appeal court in Ibadan.

The statement reads: “The Chairman of Innoson Group, Chief Dr. Innocent Chukwuma, OFR has through a Writ of FiFa taken over Guaranty Trust Bank PLC for and on behalf of Innoson Nigeria Ltd as a result of the bank’s indebtedness to Innoson Nigeria Ltd.

“In a landmark decision on February 27th 2019, the Supreme Court of Nigeria dismissed GTB’s appeal — SC. 694/2014 — against the judgment of Court of Appeal, Ibadan Division.

“The Court of Appeal, Ibadan division had in its decision of 6th February 2014 dismissed GTB’s appeal against the Federal High Court, Ibadan Division.

“Thus, the Court of Appeal affirmed the judgment of the Federal High Court, Ibadan Division which ordered GTB by way of Garnishee order absolute — to pay N2.4billion to Innoson with a 22% interest, per annum, on the judgment sum until the final liquidation of the judgment debt. Rather than obey the judgment of the Court of Appeal, GTB approached the Supreme Court to challenge the Court of Appeal’s decision.”

The company said a ruling delivered by Supreme Court Justice Olabode Rhodes-Vivour dismissed GTB’s appeal and thus affirmed the concurrent judgment of both the Court of Appeal and the Federal High Court, Ibadan Division.

It said the ruling ordered GTB by to pay N2.4 billion to Innoson with a 22 per cent interest, per annum, on the judgment until the final liquidation of the judgment.

The statement added: “The Judgment debt of N2.4bn has an accrued interest as at today of about N6,717,909,849.96 which results to about N8.8 billion.

“Based on the Supreme Court’s decision of 27th February 2019 the counsel to Innoson, Prof McCarthy Mbadugha ESQ, had approached the Federal High Court, Awka Division for leave to enforce the judgment having obtained certificates of Judgment from the Ibadan Division of the Federal High Court.”

Chukwuma, the founder of Innoson Motors, dragged GTBank to court in 2011, alleging arbitrary charges levelled against him and a string of bank accounts he held at the bank. But GTBank later counter-sued, saying it was Chukwuma who allegedly falsified bank and shipping documents to obtain tax waivers from the Nigerian government.

The bank subsequently referred the matter to the Economic and Financial Crimes Commission (EFCC). The anti-graft agency filed criminal charges against Chukwuma at a Lagos court. Last month, he was declared wanted for failing to appear for arraignment in the matter, which is still proceeding separately from the N14 billion arbitrary charges lawsuit currently at appellate levels.

Chukwuma denied the allegations of doctoring shipping documents. He said that the matter had previously been investigated by the EFCC and the police both of whom cleared him of any wrongdoing.

He accused GTBank of using law enforcement agencies to hound him and cripple his business, a claim the bank also denied.

0