Chairman of Groupe Nduom, (GN), Dr. Papa Kwesi Nduom has justified why he has taken legal action against the government of Ghana through the Ministry of Finance and some other private companies over the debt owed a subsidiary of his GN businesses.
The celebrated businessman and one-time presidential candidate for the Progressive People’s Party (PPP), said he waited one year to agree that we should go to court to redeem investments made to fund government infrastructure projects and private sector initiatives.
According to him, what was filed on Tuesday was just the beginning because “there are more to come. On Monday next week, we are taking the first set of private companies to court. More infrastructure project cases will follow. What we are looking for is not my money. It belongs to our customers who need it, some desperately.”
He indicated in a post that out of settlement would be a great idea and some private companies have agreed to settle out of the court of two of such companies paying their debts.
“Out of court settlement will be super. Already, some private sector companies have come for settlement talks. Two have paid.”
He said the court action was in the interest of the aggrieved customers who have their cash and investments locked up.
“For the sake of the more than one million customers of GN Savings and Gold Coast customers, anyone who can help should do so now.”
A subsidiary of Groupe Nduom, Ghana Growth Fund Limited (GGFL), has filed a suit against the government over debts allegedly owed it.
The company is seeking to retrieve about GHc7 million with interest from the government.
Joined to two separate lawsuits issued on July 9, 2019, are the Minister of Finance, Minister of Roads and Highways, the Attorney General.
The company has also sued private companies; Agyakot Company Limited and Reggio Company Limited.
It is also seeking to recover different amounts from these private companies.
The company is seeking GHc4,416,719.37 purportedly owed Agyakot Company Limited and GHc 2,450, 575.18 purportedly owed Reggio Company Limited.
In his writs, GGFL said it is demanding the sums of money “being the total face value of the accrued but unpaid interim payment certificates” under the roads contracts.
The company is also seeking an award of “damages for breach of contract.”
Ghana Growth Fund Company Limited is a private equity and venture capital firm that specializes in investments at all stages of a company’s life-cycle including startups, recapitalizations, leveraged buyouts, management-led buyouts, buy-ins, expansion and development capital, mature stage, strategic minority equity investments, equity private placements, consolidations and buildups, buy and builds, and growth capital financing.
The firm also invests in property-level equity, deb, and special situations transactions and businesses. It typically invests in small and medium-sized enterprises in infrastructural development, non-bank financial institutions, information technology, manufacturing, among others.
The company is a subsidiary of Groupe Nduom who manages a variety of other companies including GN Bank, First National Togo, First National Cote d’Ivoire, GN Reinsurance, GN Life Assurance, Gold Coast Fund Management, Gold Coast Brokerage, PenTrust and Liberian Enterprise Development Finance Company.