AGRICULTURAL DEVELOPMENT BANK LTD vs. PARAGON RESORTS LIMITED, MR. KWASI AMOO SIRIBOE AND PARAGON INVESTMENT LIMITED [2019]DLHC9095

AGRICULTURAL DEVELOPMENT BANK LTD vs. PARAGON RESORTS LIMITED, MR. KWASI AMOO S... [2019]DLHC9095

Date	2019-12-03
Suit No.	SUIT NO. CM/BFS/0001/17
Citation No.	[2019]DLHC9095

HER LADYSHIP JUSTICE JENNIFER ABENA DADZIE

BANNERMAN WILLIAMS JNR ESQ. WITH ROBERT PAPPOE ESQ. OF A. K. BANNERMAN-WILLIAMS & CO SACKODAR CHAMBERS NORTH INDUSTRIAL AREA ACCRA COUNSEL FOR PLAINTIFF

JUSTIN AMENUVOR ESQ. WITH MIRACLE ATTACHEY ESQ. OF AMENUVOR AND ASSOCIATES GRM LAW CONSULT LABONE ACCRA COUNSEL FOR DEFENDANTS

[2019]DLHC9095
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													<main id="main" class="content" style="min-height: 60rem" ><span lang="EN-GB" style="font-size:12.0pt;line-height:115%;font-family:&quot;Book Antiqua&quot;,serif;
mso-fareast-font-family:Calibri;mso-bidi-font-family:Arial;color:#00B0F0;
mso-fareast-language:EN-GB;mso-no-proof:yes">AGRICULTURAL DEVELOPMENT BANK LTD<o:p></o:p>(PLAINTIFF)<o:p></o:p>vs.<o:p></o:p>PARAGON RESORTS LIMITED, MR. KWASI
AMOO SIRIBOE AND PARAGON INVESTMENT LIMITED<o:p></o:p>(DEFENDANTS)<o:p></o:p>[HIGH COURT,(COMMERCIAL DIVISION) ACCRA]<o:p></o:p><o:p>&nbsp;</o:p><div style="mso-element:para-border-div;border:none;border-bottom:solid windowtext 1.5pt;
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<p class="MsoNormal" align="center" style="margin-bottom:0cm;margin-bottom:.0001pt;
text-align:center;line-height:115%;border:none;mso-border-bottom-alt:solid windowtext 1.5pt;
padding:0cm;mso-padding-alt:0cm 0cm 1.0pt 0cm">SUIT NO.
CM/BFS/0001/17&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: 3RD DECEMBER,
2019<o:p></o:p>

</div>COUNSEL:<o:p></o:p>BANNERMAN
WILLIAMS JNR, ESQ., WITH ROBERT PAPPOE, ESQ., OF A. K. BANNERMAN-WILLIAMS &amp;
CO, SACKODAR CHAMBERS, NORTH INDUSTRIAL AREA, ACCRA, COUNSEL FOR PLAINTIFF<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:0cm;margin-bottom:.0001pt;text-align:
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solid windowtext 1.5pt;padding:0cm;mso-padding-alt:0cm 0cm 1.0pt 0cm">JUSTIN AMENUVOR, ESQ., WITH MIRACLE
ATTACHEY, ESQ., OF AMENUVOR AND ASSOCIATES, GRM LAW CONSULT, LABONE, ACCRA,
COUNSEL FOR DEFENDANTS<o:p></o:p>

</div>CORAM:<o:p></o:p>HER LADYSHIP JUSTICE JENNIFER ABENA DADZIE<o:p></o:p><div style="mso-element:para-border-div;border-top:solid windowtext 1.5pt;
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<p class="MsoNormal" align="center" style="margin-bottom:0cm;margin-bottom:.0001pt;
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mso-border-bottom-alt:solid windowtext 1.5pt;padding:0cm;mso-padding-alt:1.0pt 0cm 1.0pt 0cm">JUDGMENT<o:p></o:p>

</div><o:p>&nbsp;</o:p>The
Plaintiff herein is a financial institution incorporated under the laws of the
Republic of Ghana and is engaged in the business of banking. The 1st
Defendant is a limited liability company registered under the laws of Ghana,
engaging in the hospitality business and is a customer of the Plaintiff bank at
its Takoradi branch. The 2nd Defendant is a director of the 1st
Defendant Company and the guarantor of the credit facility granted the 1st
Defendant by the Plaintiff bank whiles the 3rd Defendant is the
mortgagor who secured the repayment of the loan facility granted to the 1st
Defendant by plaintiff with its landed properties. <o:p></o:p>I have
reviewed the record of proceedings and the evidence adduced in this case
extensively.&nbsp; Plaintiff’s case consisted
of the testimony of its Representative, Mr. Kwasi Afreh Biney and the
documentary evidence he submitted in support of the claim of the Plaintiff,
marked in the record as Exhibits “A”
through “F1”.&nbsp; On the other hand, the 1st, 2nd
and 3rd Defendants’ case consisted of the testimony on oath of the 2nd
Defendant who testified on his own behalf and on the behalf of the 1st
and 3rd Defendants and the documentary evidence he produced in
support of their case, which was marked into evidence as Exhibit “1”.<o:p></o:p>Plaintiff’s
case consists of the following facts. In March 2011, it extended a loan
facility of Fourteen Million, One Hundred and Eighty-nine Thousand Two Hundred
and Ninety-seven United States dollars (US$14,189,297.00) to the 1st
Defendant upon their request. The facility so granted was to enable the 1st
Defendant construct a 102-room four-star hotel at Takoradi and was for a period
of one hundred and eight (108) months effectual from the date of first
disbursement including a twenty-four (24) months moratorium on both the
principal and the interest.&nbsp; This is
contained in the Offer Letter marked as Exhibit “A”.&nbsp; Per the terms of Exhibit “A”, the interest
rate exigible was 11% per annum, which was the US dollar base rate and 19.95%
for denominations in Ghana cedis subject to changes in the market conditions. <o:p></o:p>The
facility was secured by the 3rd Defendant with a mortgage over the
102-room 4-star hotel and eight (8) residential properties consisting of
3-bedroom town houses, situate at No. 6 Dixcove Hill, Beach Road, Takoradi to
the Plaintiff (see copy of the Deed of Mortgage marked as Exhibit “B”) and a
further security in the form of a Deed of Guarantee executed by the 2nd
Defendant in favour of the Plaintiff, a copy of which was marked as Exhibit “C
“into evidence.<o:p></o:p>It is
the contention of the Plaintiff that 1st Defendant has breached
performance generally under the terms of the facility agreement, in particular,
the payment terms, and has therefore defaulted in repaying the facility on
schedule despite repeated demands. For this reason, Plaintiff avers that it
issued a letter and called-in the facility by demanding the repayment of the
entire facility (See Exhibit “D”). <o:p></o:p>