Former New Patriotic Party (NPP) Ashanti Regional Chairman, Bernard Antwi Boasiako, popularly known as Chairman Wontumi, and Wontumi Farms have turned to the High Court to challenge the criminal proceedings arising from a loan dispute with Ghana Exim Bank.
The two plaintiffs are seeking a declaration that the matter is a civil debt dispute and should not be prosecuted as a criminal case.
The suit names Ghana Export-Import Bank, the Economic and Organised Crime Office (EOCO) and the Attorney General as defendants.
The legal action follows criminal proceedings against the plaintiffs over alleged offences including defrauding by false pretences, uttering a forged document, money laundering and intentionally causing financial loss to the state.
In their statement of claim, the plaintiffs argue that the dispute concerns repayment of a loan and accuse EOCO of exceeding its mandate by acting as a debt collector.
Represented by lawyer Samuel Atta-Akyea, they say the facility, valued at more than GH¢18 million, was obtained to finance a farming project.
According to the plaintiffs, a 10,000-acre parcel of land belonging to Wontumi Farms was provided as mortgage security for the loan. Chairman Wontumi also personally guaranteed repayment in the event of a default, while Ghana Exim Bank allegedly undertook to secure insurance for the facility.
The plaintiffs contend that the farming project did not succeed, resulting in significant financial losses.
They claim that even when the farm recorded a bumper maize harvest, flooding from four rivers surrounding the property destroyed the farmland and worsened their financial difficulties.
They further allege that Ghana Exim Bank was informed of the situation and promised to take steps to activate the insurance package to settle the outstanding loan.
On that basis, the plaintiffs maintain that the loan was legitimately acquired and that the circumstances surrounding its repayment do not amount to criminal conduct.
They are asking the High Court to declare that the dispute should be referred to the civil courts for determination.
They are also seeking an order compelling Ghana Exim Bank to account for the outstanding balance and pursue recovery through the mortgaged property, Chairman Wontumi’s personal guarantee or the insurance cover which they claim the bank was required to secure.
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