FIRST ATLANTIC BANK LTD vs. SEFOS & SONS LTD & ANOR [2019]DLHC6889

Date	2019-06-20
Suit No.	SUIT NO: BFS 201/2014
Citation No.	[2019]DLHC6889

HIS LORDSHIP JUSTICE DR. RICHMOND OSEI-HWERE

DENNIS BOAMA OKYERE FOR THE PLAINTIFF

LINDA FREMA ADOM FOR FRANCIS KOFFIE FOR THE 1ST DEFENDANT

ISAAC KANKAM FOR THE 2ND DEFENDANT

[2019]DLHC6889
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													<main id="main" class="content" style="min-height: 60rem" >FIRST
ATLANTIC BANK LTD<o:p></o:p>(PLAINTIFF)<o:p></o:p>vs.<o:p></o:p>SEFOS &amp;
SONS LTD &amp; ANOR<o:p></o:p>(DEFENDANT)<o:p></o:p>[HIGH COURT (COMMERCIAL DIVISION), KUMASI]<o:p></o:p><div style="mso-element:para-border-div;border:none;border-bottom:solid windowtext 1.5pt;
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SUIT
NO: BFS 201/2014&nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp;DATE: 20TH JUNE, 2019<o:p></o:p>

</div>COUNSEL:
<o:p></o:p>DENNIS
BOAMA OKYERE FOR THE PLAINTIFF<o:p></o:p>LINDA
FREMA ADOM FOR FRANCIS KOFFIE FOR THE 1ST DEFENDANT<o:p></o:p><div style="mso-element:para-border-div;border:none;border-bottom:solid windowtext 1.5pt;
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ISAAC
KANKAM FOR THE 2ND DEFENDANT<o:p></o:p>

</div>CORAM: <o:p></o:p><div style="mso-element:para-border-div;border:none;border-bottom:solid windowtext 1.5pt;
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<p class="MsoNormal" style="margin-bottom:0in;margin-bottom:.0001pt;line-height:
115%;mso-outline-level:1;border:none;mso-border-bottom-alt:solid windowtext 1.5pt;
padding:0in;mso-padding-alt:0in 0in 1.0pt 0in">HIS LORDSHIP JUSTICE DR.
RICHMOND OSEI-HWERE<o:p></o:p>

</div><o:p>&nbsp;</o:p><div style="mso-element:para-border-div;border:none;border-bottom:solid windowtext 1.5pt;
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</div>On
10th April, 2014 the Plaintiff instituted the present action against
the Defendant herein seeking the following reliefs:<o:p></o:p>a.&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; The
payment of One Hundred and Twenty-One Thousand, Three Hundred and Sixty Ghana
Cedis, Twenty Pesewas (GHC121,360.20) being the amount outstanding in respect
of the facilities granted to the 1st Defendant.<o:p></o:p>b.&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Interest
on the said sum upon the terms of the facilities, from 14th March, 2014 till
date of final payment.<o:p></o:p>c.&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; In
addition to or in the alternative, an order for judicial sale of 2nd
Defendant's property contained in Deed of Mortgage.<o:p></o:p>d.&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Costs.<o:p></o:p>The
facts of the case are that on 5th August, 2004 the Plaintiff granted
a loan facility of Fifteen Thousand Ghana Cedis (GHC15, 000.00) to the 1st
Defendant. The 1st Defendant used property H/NO. PLOT 15 BLOCK 'X',
GYINYASE, KUMASI as security for the loan. The said property belongs to the 2nd
Defendant. The title deed of the property was lodged with the Plaintiff Bank. <o:p></o:p>The
2nd Defendant subsequently commenced an action at the Circuit Court
on the 26th day of February, 2014 against the Plaintiff and the 1st
Defendant herein for, amongst other things, release of his title documents from
the Plaintiff bank but same was refused by the Court on the ground that the
Plaintiff bank had a lien over the title deed since same had been used as
security for 1st Defendant's unpaid debt.<o:p></o:p><o:p>&nbsp;</o:p>Parties’ Case<o:p></o:p>The
Plaintiff bank states that as at 14th March, 2014, there was an outstanding
amount of One Hundred and Twenty-One Thousand, Three Hundred and Sixty Ghana
Cedis Twenty Pesewas (GHC121, 360.20) to be paid by the 1st Defendant on the
facility which the 1st Defendant had refused to pay despite repeated
demands on it to do so.<o:p></o:p>The
defence of the 1st Defendant as stated in its Statement of Defence
is basically that the Plaintiff's instant action is caught by the provisions of
the Limitations Act, 1972(NRCD 54). Thus, the action is not maintainable, as it
is statute barred. It is the case of the 1st Defendant that the
Plaintiff should be prevented from instituting this action, as they have intentionally
allowed the loan facility to escalate in bad faith. Secondly, the 1st defendant
avers that it does not owe any liability to the Plaintiff, as all outstanding
debts to the Plaintiff Bank have been fully paid.<o:p></o:p>The
defence of the 2nd Defendant is that he is not a customer of the
Plaintiff and that he never took a loan from the Plaintiff. He also insists
that he never created a mortgage over his property in favour of the Plaintiff.<o:p></o:p>Issues<o:p></o:p>