Home / Latest News / Court orders govt to file defence in Nduom’s suit fighting for contractors

Court orders govt to file defence in Nduom’s suit fighting for contractors

An Accra High Court has directed the State to file its defence in a case in which the Ghana Growth Fund Company Limited, a subsidiary of Groupe Nduom, is demanding the payment of monies allegedly owed it by the government.

Ghana Growth Fund Company Limited (GGFC), a subsidiary of Groupe Nduom, sued the Attorney General’s Office (AG), Finance Ministry, Road Ministry and Reggio Limited (one of the contractors GGFC allegedly gave loans to), to demand payments.

The monies, according to the writ, are principal and interests on various loan amounts that GGFC had advanced to road construction firms.

According to the writ, the construction firm had assigned contract sums to GGFC following which the state agencies have made several payments to the company.

The state agencies, however, stopped making payments along the way, forcing GGFC to go to court to enforce the payments.

The AG filed an application arguing that the State agencies have no payments obligations towards GGFC since they are not parties to the loan agreement hence the case should be dismissed.

But the court after hearing the arguments of the AG on why the case should be dismissed declined the request of the AG.

The presiding judge, Justice Samuel Asiedu further ordered the state to open its defence.

 

Source: citinewsroom.com

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