Menzgold files defence in suit for repayment of investments

By Hafsa Obeng, GNA

Accra, Feb. 28, GNA - Menzgold Ghana Limited on Thursday filed their defence in a case in which 53 soldiers have sued the company for failing to pay back their investments in the sum total of GH¢2.5 million.

The soldiers had earlier filed for a default judgment after Menzgold failed to file its defence and the Court was expected to rule on their application on Thursday.

However, on Thursday when the case was called at an Accra High Court, it was revealed that the company had filed their defence just before the court started sitting for the day.

Counsel for the 53 soldiers, Captain Nkrabea Effah Dartey (RTD), therefore withdrew the application but prayed the court to award cost of GH¢10,000.00 against the company.

The court, presided over by Justice Jerome Nkrumah, struck out the application and awarded cost of GH¢8,000.00 against Menzegold.

The plaintiffs who are from the Ghana Navy, the Ghana Air Force and the Ghana Army are praying the High Court to order a refund of their money.

According to the plaintiffs, all efforts to retrieve the money had been unsuccessful.

They caused a writ of summons to be issued on their behalf on December 12, 2018, praying the court to order a refund of their money, ranging between GH¢18,000.00 and GH¢244,000.00 representing their principals.

The plaintiffs are of the view that even if the defendant cannot pay their interests, they are entitled to their principals.

A statement of claim accompanying the writ of summons stated, inter alia, that the defendant, through advertisements and its agents, reached out to the Ghanaian public to subscribe to its services.

It said the plaintiffs took advantage of the advertisements and subscribed to the defendant’s services by investing various sums of money in 2018.

According to the statement, the agreement between the plaintiffs and the company entitled them to 10 per cent returns on their investment for those who invested GH¢24,000.00 and above and a minimum of seven per cent for those who invested below GH¢24,000.00.

It said the agreement was for 12 months, after which investors were permitted to terminate or to reactivate their investments.

According to the statement of claim, the defendant company paid the interest, popularly known as extra value, but stopped sometime in August 2018 and had since failed to either pay the interest or refund their principals.

GNA

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