In recent news breaking the internet and banking sector of Nigeria, Innoson Motors have moved to be new owners of popular Nigeria Bank GTBank(Guarantee Trust Bank). What mots people don’t understand is the reason behind this move. Well to understand lets go back the memory lane, the incidence that happened about 5 years ago.
Some where in 2013/2014, there was a misunderstanding between Innoson Motors and GtBank.This led to lots of talks and even a trend on Internet about GTBank and Innoson Motors.
Top business men also threaten to even pull their money from GTBank and this led to the Bank taking some measures to stay in Business. It happens that GTBank was owing Innoson Motor a debt of approximately N2.4 Billion Nigeria Naira. We’ll skip details of how the debt came about for now.
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GTBank Vs Innoson Motors Court Orders
In 2013 it seems The Federal High Court, Ibadan Division had ordered GTBank to by way of Garnishee order absolute to pay N2.4 Billion to Innoson with a 22% interest every year(per annum) on the said amount until the debt is fully paid.
GTBank took the case to The Court of Appeal looking for a more favorable decision. But in February 2014, The Court Of Appeal, Ibadan branch dismissed GTbank’s appeal against the decision of the Federal High Court.
Not satisfied with the prior decisions, GTBank took the case to the highest court in Nigeria, The Supreme Court. In what has been referred to as a Landmark decision by most people, The Supreme Court had also dismissed GTBank’s appeal.
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On February 27th 2019 The Supreme Court had in its decision dismissed GTBank’s appeal against the Federal High Court,Ibadan Division. This means that all previous judgment stands.
Remember that GTBank had been ordered to pay the sum of N2.4 Billion Nigeria Naira to Innoson Motors with a 22% interest every year(per annum). From 2014 till date is about 5 years and that means 22% of the said amount will be paid for 5 years. You can do the Math by yourself and you’ll see that said money is now over N8.5 Billion Nigeria Naira.
Cornel Osigwe, the head of Corporate Communications to Innoson groups have confirmed the above in a statement released by him. One can right say that Innoson groups are taking over GTBank because of an accumulated unpaid debt.
What now happens to GTBank as Innoson motors is set to take over the Bank. What will be GTBank next line of action as it seems they have exhausted all legal options. Well we sit back and watch as the situation gradually unfolds.