Business News of Wednesday, 7 November 2018
CDH Savings and Loans has threatened to take legal actions against receivers of Capital Bank for acting in bad faith.
This follows a suit filed against CDH in court ordering them to repay a debt of GHC100million owed Capital Bank and a relief seeking to revoke their license among others.
CDH believes has dismissed such claims accusing the receivers of defaming their brand, acting in bad faith, with malicious intent.
Capital Bank was among the two banks that were taken over by state-owned GCB Bank over severe liquidity challenges in 2017.
Below is the full detail of the press release issued by CDH Savings and Loans clarifying their position on the matter.
CDH SAVINGS AND LOANS DOES NOT OWE CAPITAL BANK
Following a publication by myjoyonline yesterday (November 5, 2018) suggesting that erstwhile Capital Bank has sued CDH Savings to recover over ¢100 million being debts owed Capital Bank.
CDH Savings and Loans would like to clarify to the general public and our cherished clients that we do not owe Capital Bank.
These are the facts of the matter;
1. As of August 2017, CDH Savings and Loans Limited was owed GH¢26,287,923.92 by the defunct Capital Bank, an amount CDH Savings and Loans Limited invested at Capital Bank.
2. Capital Bank was owed GH¢11,652,054.79, an amount it invested at CDH
Savings and Loans. When the said investment is deducted from its debts, Capital Bank owes CDH Savings and Loans a net amount of GH¢14,635,865.13, which amount is still in due and owing.
3. This amount owed has been admitted by a letter from the Counsel for the Joint Receivers of Capital Bank after a reconciliation process, as an amount owed by his clients to CDH Savings and Loans Limited.
Thus, the suit initiated by the Receivers of Capital Bank has been actuated by malice and utmost bad faith. CDH Savings and Loans Limited will in the circumstances take the necessary legal action to correct this erroneous impression and also claim damages for defamation.