Reader Center: GTBANK cannot afford to pay Innoson 8 billion Naira
All the options for GTBANK to overturn the initial ruling ordering them to pay Innoson Motors 2 billion Naira has been exhausted, and the first ruling, compares to the later would have been, from all indications the best ruling the bank would have received, but in the process of trying to avoid paying debts, the money has risen to to 8 billion Naira due to a monthly interest capped at 22%.
Now that they’ve gotten to this point, the questions remains are they going to pay? If yes, how and what are the risks?
Divine Mmeje wrote;
If they try paying that money it will expose them to a lot of risks, that’s their dilemma and even the declared 2018 profit was a pre-tax profit.
The Board chairman should Come to her Bank’s rescue, because if media that is rooted in financial times buys into this, the bank share will at least drop, and it’s not healthy for them.”
Yes this is a good side of it, and further more, it is going to expose them to some financial investigations and lots of loopholes are going to be opened and and it may likely going to attract more questions about their tax declarations and many other financial management within the bank.
Jasper Ahamefule wrote;
“GTB can’t pay that money, it will kill them. Forget that noise about market value. We are talking liquids cash. When it was 2.6 billion they couldn’t pay, is it now that it is 8.8 billion? They can’t even try instalment because that debt is capped at 22% interest. So instalment won’t work.
It is either they pay in full cash or let Innosson take over because at such amount, he becomes the highest shareholder.”
The process of finding out the good answer to this question will be long, but one point is would 8 billion make Mr Innocent Chukwuma the highest shareholder of the bank? Well, according to our readers, that would be determined also by his initial share at the bank (if he has any) and how much share is it.
Divine Mmeje Wrote;
“That would be determine by if he is the highest shareholder, the highest shareholder has how many shares, those should be the question before you say Innoson is the biggest shareholder.
Unless Mr. Innocent has a bigger share prior to now that he can add to this new one, that is the only way he can be the biggest shareholder enough to take over the bank.”
This is open to our readers, what do you think about this developing story?
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