Finsbury sues 2 banks
FINSBURY Investments Limited has sued African Banking Corporation Zambia Limited trading as Atlas Mara and Finance Bank Zambia Limited in the Lusaka High Court stating that their false claims that Imbwili Investments Limited does not owe any funds under the Mortgage and supplementary Mortgages are malicious and aimed at causing economic loss to it.
It has also sued Imbwili Investments Limited as the third defendant for failing to fully settle the loan in the sum of K33, 648, 819 (unrebased) outstanding as at July 31, 1997 with interest payable at the then current banking rate.
Finsbury Investments claims include an order that Atlas Mara in failing to safeguard its interests with regard to Imbwili Investments amount to the economic tort(s) of inducing loss by unlawful means for which the plaintiff (Finsbury) is entitled to damages against the defendants.
It also wants an order that Imbwili Investments still owes the interest due under judgement cause number 1996/HP/2892 and for the payment of the total sums owing and outstanding from the third defendant to it under the said judgement and the same to be assessed by the Registrar of the High court.
The plaintiff also wants an order against Atlas Mara and Finance Bank for damages for breach of contract.
Finsbury Investments wants the court to order the three defendants to pay the sums owed to it by Imbwili Investments.
It is also seeking exemplary and aggravated damages as against the three for their deliberate, malicious conduct and reckless disregard of its rights.
In their statement of claim filed on January 18 this year, Finsbury Investments stated that as at June 30, 2016, Atlas Mara became the majority shareholder of Finance Bank Zambia plc (FBZ), and took over all the assets and liabilities of FBZ after a corporate restructuring process.
Therefore Finance Bank no longer has any real operation existence except that its name is maintained on the register of PACRA.
It stated that Imbwili Investments is engaged in the business of investment and property development.
Finsbury Investments stated that Finance Bank prior to the corporate restructuring with Atlas Mara advanced two credit facilities in the sum of K650, 000 and K550, 000 unrebased (principal sums), to Lunkoto Holdings Limited, Hydrotech Services Limited, Minetech Services Limited and Imbwili Investments (the Group of companies) on August 16, 1989 and March 26, 1991, respectively.
It stated that Imbwili is the holding company for the other companies (Lunkonto, Hydrotech and Minetech).
“By letter dated 12th
April 1989, authored by one Andrew Kashita as executive chairman and shareholder in the third defendant, the said third defendant as holding company, requested for opening of accounts and overdraft facilities for Lunkonto, Minetech and Hydrotech. The requested accounts were opened and overdraft facilities were availed by FBZ letter dated 28th June 1989,” it stated.