described claims that SIC Insurance Company Limited has paid GHC91million to Ivory
Finance as refund of loan SIC guaranteed for a real estate company as not true.
He told journalists in Accra the only money SIC has paid to Ivory Finance so far is
GHC19.3million, which they paid to the court and the court transferred to Ivory
Finance as part payment of moneys owed since 2013.
Emmanuel Adu Sarkordee noted that as of today, four years after Ivory Finance
advanced the loan to Ital Construct International Limited with SIC as guarantor, the
interest has piled up to over GHC550 million and it is still rising every month as
SIC continues to fight the matter in court.
Ivory Finance has also garnisheed all the assets of SIC and Ital pending the refund
of the debt, to the extent that, now SIC directors had to seek the permission of
Ivory Finance through the courts before they could use their own vehicles.
The facts of the case is that SIC guaranteed a sixth-month bridge finance of GHC14
million from Ivory Finance for Ital on March 26, 2013 for the construction of 4,100
affordable houses.
The terms of the loan were 5.5 per cent interest when paid within the six-month
period, but in default, an additional eight per cent will be added to make 13.5 per
cent for every month of default.
According to Sarkordee, when Ital named SIC as a guarantor “we did not have any
qualms because SIC had in the past guaranteed similar loans for two of our mutual
clients and the money had been paid back without any problems.â€
He said in this particular instance, however, Ital defaulted in the repayment of the
loan so Ivory Finance made a demand on both Ital and SIC on October 1 and 18, 2013,
but to no avail.
SIC sued
Ivory Finance therefore filed a suit on November 2, 2013 at the Commercial Division
of the High Court demanding the money, and the court ruled in their favor allegedly
because of a loose defense from SIC.
At the time of the ruling, the money owed had reached over GHC91.9 million so SIC
appealed for stay of execution, a freeze on the interests and a reduction of the
outstanding amount, but Ivory Finance refused to reduce it so SIC agreed to pay the
outstanding amount in nine months, while the interest remain freezed.
The terms of settlement, which was signed by the then SIC Managing Director and
Secretary to the Board, was entered into a consent judgment in court but the period
passed and SIC still defaulted on the repayment on the outstanding GHC91.9 million so
the interest was unfreezed again.
Fraud claims
In the heat of the back and forth, SIC sued Ivory Finance claiming they used
fraudulent means in getting SIC entangled in the mess because they made SIC MD and
Board Secretary sign the bond on the blind side of the board.
The High Court threw SIC’s case of fraud out and they went to Appeals Court and
lost again, and now they are at the Supreme Court with the same case of fraud against
Ivory Finance as the interest on the loan continues to pile up.
Meanwhile, some surrogates of SIC are in the media claiming that SIC had paid
GHC91million to Ivory Finance but the company has still garnisheed SIC assets and
accounts in an attempt to take over SIC.
But Emmanuel Adu Sarkordee said it is a complete lie that SIC has paid any such
amount to Ivory Finance, emphasizing that SIC paid only GHC19.3 million through the
court to Ivory Finance.
Hidden from shareholders
The Ivory Finance Boss, who said he is also a shareholder in SIC, described the SIC
Board and Management as irresponsible and deceptive because while they claim they had
paid GHC91million to Ivory Finance, they did not report that to shareholders at the
AGM last year.
“They also never mentioned in their account statement that they owe GHC91million
– they did not even make a note of that possible liability and yet they paid out
deceptive dividends to shareholders,†he said.
On claims that he was seeking to take over the ownership of SIC, Sarkordee rubbished
the claims saying that he had no intention of owning SIC but he believes the way they
are managing the “iconic brand†called SIC is not the best.
He said currently, the Bank of Ghana has allowed Ivory Finance to write that loan off
its books because it was sold to another investor, so it will not affect its
shareholders and customers.
Customers and shareholders can rest assured that this loan will not affect their
investment in any way - but we will still continue to demand the money until it is
paid because it will help to expand our business and help to employ more people,â€
he said. Read Full Story
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