19th July, 2012
In a bid to recover a debt of N75,389,939.87, United Bank for Africa Plc, UBA, has dragged a Lagos company, Stormberg Engineering Limited, before a Federal High Court in Lagos, southwest Nigeria.
In its claim filed before the court by a Lagos lawyer, Barrister Kingsley Okigbo, UBA Plc, alleged that on the 22 November, 2007, Stormberg Company applied for and was granted N50 million credit facilities to enable the company fulfil its obligations under various contract awards. The interest was fixed at 17 per cent per annum.
The security for the facilities was the domiciliation of contract proceeds to UBA Plc while the duration for the credit was for 60 days tenor.
However, the bank alleged that upon the expiration of the 60 days tenor the company only paid N5 million while payment outline suggested by the company were not adhered to as a cheque of N10 million dated 18 September, 2009 sent to the bank was returned unpaid. Thereafter, the payment of a total sum of N18 million proved unsuccessful.
Therefore, the bank’s claims against the company is the sum of N75,389,939.87 as at March, 2011. Interest at the rate of 17 per cent till the day of judgement.
In its statement of defence and counter claim, Stormberg Company, while denying almost all averment and claims of the bank, alleged that the company in its bid to confirm the figures presented by UBA Plc as the amount due and owing to it, engaged the services of a forensic accounting firm in the name of Forensic Consulting and based on the findings of its Accounting Consultant, discovered that there were some illegal bank charges on its transaction with the bank.
These charges vary such as excess commission on turnover, interest on overdraft, illegal loan interest, illegal monthly charges and illegal handling fees among others. The company intended to rely on the report of its consultant during the hearing of this case.
It was further alleged that the statement of account presented by the bank was full of irregularities and manipulation as observed by the recognised accounting consultant engaged by the company. The company, therefore, contended that the action and claim of the bank as constituted against the company are unnecessary, vexatious misconceived, frivolous, and a waste of time and abuse of court process and should be dismissed with substantial cost awarded against the bank.
The company counter claims the sum of N37,457,008 against UBA Plc being excess bank charges wrongly deducted from the company’s account domicile with the bank which the bank has refused to refund, interest on the said sum at the rate of 22 per cent until judgement is entered.
Justice Binta Murtala Nyako has adjourned the case till 18 October for further hearing.
—By Akin Kuponiyi