 |
| Access Bank MD Herbert Wigwe |
By SAM POPOOLA, Lagos
Access Bank Plc which has just aquired Diamond Bank has been dragged into a N100million legal tango with a customer who is alleging over-charged interest and incompetency on the part of the bank.
The Lagos division of the Federal High Court will commence hearing of the civil suit in January 20, 2019 when a Chartered Accountant, Dr Patrick Ayo Akinyelure, the plaintiff, led by his team of legal experts will slot it out with Access Bank Plc to prove the allegation.
Also to be engaged in the legal tango is United Securities Limited joined as a co-defendant.
In a statement of claim filed before the court by the law firm of Onu, Uduma & Associates, Dr Akinyelure alleged that he applied for a N30Million Margin loan facility for the purpose of trading on the floor of the Nigeria Stock Exchange.
He offered a collateral security arrangement on the loan, a lien on his existing and security worth as at 24th January, 2008 at least N9million together with a cash of N1 million which shall be disbursed for the immediate opening of the share trading account
He averred further that he fully complied with all terms and condition of the loan while Access Bank, through thier officials induced and coerced him to execute all the documents by insisting that United Securities Limited will be best suited to manage his share Portfolio purchased from the share Loan Facility profitably with good return on his investment.
He accepted the share Loan Facility and the discounted loan amount was transfered to United Securities Limited by Access Bank for the purpose of acquisition of share for investment in his name.
However Dr Akinyelure stated that his tale of woes started sometime in May 2008 when he received a letter from the bank informing him that the interest rate applicable to the share loan facility was being reviewed from 20% to25% per annum.
He responded by a letter and put forward counter proposal and that the bank should terminate the share loan facility contract if the bank fails to reverse the interest rate applicable to 20% per annum or acceded to the upward review by 5% of his investment ofN10million and N20,024,109.59 in two different branches of the bank.
The bank refused his proposal while unilaterally maintaining the upward review of interest rate applicable to the share loan.
Thereafter the bank over charged interest on his account in the sum of N73,545.92 and by letter dated 21st July, 2008, he demanded the reversal of the said interest sum.
According to the plaintiff, the bank never responded. By letter dated 22nd July, 2009, the bank wrote him a letter demanding immediate payment sum of N41,119,208.19 being purported amount outstanding on his account within 14 days, failure of which the bank threatened to embark on steps to recover its funds in a manner inimical to him.
The Plaintiff at the hearing of this case is contending that the bank breached their duty of care by dealing with his share investment portifolio in a manner inimical to interest and contrary to agreement, which did not yield any profitability or good return on investment, in respect of which he has suffered loss.
Dr Akinyelure further alleged that Access bank had full and total control and discretion over his share investment portifolio and was under duty to diligently deal with same and ensure the portfolio's profitability independent of his involvement or contribution, but the bank by wrong investment advice and poor management failed, refused and neglected to deal diligently with his share investment portifolio resulting in depreciation in value and huge accumulation of interest of the loan facility.
The bank was also alleged to have ignored statutory regulatory directive issued by the Central Bank of Nigeria (CBN) to all banks including Access bank, in respect of Monetary Policy regulating applicable interest rate.
The 2nd defendant in the suit, United Securities, was alleged to have ignored best industry practices in managing the Plaintiff's shares investment portifolio and failed to take steps to mitigate losses on share market movement.
By the reason of the foregoing, the plaintiff alleged to have suffered loss and damages, and claim against both defendants jointly and severally are as follows:
An order directing the defendants to pay him damages in the sum of N100million for losses sustained as a result of the defendants breach of the share loan facility agreement.
A declaration that he does not owe or indebted to the defendants
A declaration that the defendants breached the term and conditions of the shares loan agreement.
The court has adjourned till 20th January, 2019 for report of settlement or hearing.
0 Comments