The Managing Director of GLICO General Insurance Limited, Andrew Acheampong-Kyei, has described as mischievous an invasion by NDK Financial Services after a court ruling to attach properties of the company.
According to him, the move by NDK Financial Services, is aimed at tarnishing the image of the insurance company, since both parties are yet to discuss the mode of executing a judgment passed by an Accra High court.
“When there is a ruling and in this case there is three weeks for us to respond and as you know we can appeal. And indeed, we were working on certain grounds which was for appeal. The three weeks is not up and yet the plaintiff today came in with a writ with an aim of attaching GLICO General’s property,” he lamented.
According to Mr. Acheampong-Kyei, management of NDK Financial Services, invaded GLICO’s Adabraka office in the company of police officers, journalists and a court bailiff, and took away 5 vehicles, three personal computers and a printer photocopier.
Mr. Acheampong-Kyei, narrated that the High court last week, gave a ruling that NDK Financial Services, is entitled to the sum of an interest of about 398,522 cedis, which was calculated at the rate of 5.5 percent per month from September 2009 to November 2013 on a substantive case pending.
But, he stated that before the two parties could meet on the matter, NDK moved to attach the property of the company.
“The calculation of the interest was done as simple interest and not compound interest which they were looking for,” he said
Providing some background to the case, Mr. Acheampong-Kyei recalled that GLICO guaranteed a loan acquired by Kosfield from NDK Financial Services which was later deemed by management of GLICO as inappropriate.
On the next line of action to take, Mr. Acheampong-Kyei told journalists at a press conference, lawyers of GLICO General Insurance Limited are studying the matter and will soon go back to court.
Below is statement GLICO subsequently issued on the NDK invasion
COURT CLARIFIES MODE OF INTEREST CALCULATION IN NDK v GLICO GENERAL RULING
On the 21st February 2018, the High Court delivered its ruling in respect of GLICO GENERAL on the payment of interest on the NDK Financial Services v Kosefeld v GLICO GENERAL case; details of which are in the public domain as it remains one of the classic cases on credit guarantees in Ghana.
The court ruled that interest on principal payments should be paid on a simple interest basis contrary to NDK Financial Services belief that payments be made with interest at a compounded rate.
Per the law (Court of Appeal Rules C.I.19), GLICO GENERAL has twenty-one (21) days to act on the ruling, whether to pay up based on the court’s ruling or appeal further. Lawyers representing GLICO GENERAL are in the process of appealing based on the technicalities of the case.
Without an amended entry of judgement following the ruling, representatives of NDK Financial Services accompanied by court bailiffs, policemen and media men in a mischievous and bizarre attempt, invaded the GLICO House premises around 12midday yesterday 8th March 2018, without notice or warning nor due process, to see the leadership of the Company with a writ of FiFa to seize all parked vehicles on GLICO’s yard as well as office equipment.
In this irregular process, they drove off with five (5) vehicles, a photocopier/printer and three (3) personal computers belonging to GLICO GENERAL and other private individuals.
GLICO GENERAL has since reported the incidence to the Police Criminal Investigation Department (CID) for investigations, as they follow legal procedures to correct the illegality.
Speaking to the media on this rather mischievous action by NDK, the Managing Director of GLICO GENERAL, Mr. Andrew Achampong-Kyei indicated that, GLICO GENERAL is a formidable company and pays legitimate claims promptly and would continue to cushion its clients for life. However, where claims border on illegalities and fraud, the rule of law must always be applied.
It important to state that GLICO GENERAL has been rated “B-” for credit worthiness by Standard &Poors (S&P) Rating Agency and to date, is the only non-life insurance company to be rated in Ghana by S&P. It is also rated “A-” by the Global Credit Rating Agency of South Africa for claim payment abilities, an attribute GLICO GENERAL lives by with the tagline “we cushion you for life.”
GLICO GENERAL assures its clients and stakeholders that its promise to cushion clients for life is still resolute as it has the financial muscles to pay all legitimate claims promptly.
Instructively, GLICO GENERAL is a member of GLICO GROUP, a group of companies specialising in providing financial solutions to Ghanaians for the past thirty years and counting.
Nana Efua Rockson
GROUP Head, corporate Affairs & Marketing
GLICO Group Ltd