NIB wins London case against Eland International: Court orders Eland International to pay £150, 000 as costs

The court ordered the defendant, Eland to pay the sum of £150, 000.00 to the National Investment Bank as costs thus reversing an earlier decision that required, NIB to pay £41, 759.45 to Eland.

Is allowance instantly strangers applauded

The National Investment Bank (NIB) has won a case against Eland International Thailand and Eland Ghana in London at the Queens Court Division of the High Court of Justice presided over by Mr. Justice Foxton.

The court ordered the defendant, Eland to pay the sum of £150, 000.00 to the National Investment Bank as costs thus reversing an earlier decision that required, NIB to pay £41, 759.45 to Eland.

Also, an application for permission by Eland to appeal was refused by the court noting that the same argument had already been canvassed before the court and did not have a realistic prospect of success.

“Permission to appeal is refused. The Defendants’ argument on ss.18 and 72, developed for the first time orally at the hearing, does not have a realistic prospect of success.”

Further to the above, the court described an appointed arbitrator per a September 2, 2020, order by Justice Andrew Baker as lacking jurisdiction to hear or determine the claims and disputes.

Moreover, Eland’s application for adjournment of the trial was dismissed by the court.

Background

The dispute between the state Bank, NIB on one hand, and Eland International (Thailand) and Eland Ghana Limited on the other hand goes as far back as 2001 when the parties entered into a tripartite Collateral Management Agreement (CMA).

Subsequently, in 2014, Eland Thailand commenced proceedings against NIB at the High Court in Ghana advancing various claims per the 2001 Agreement for the following reliefs:
 

a. The sum of US$107,964,877.51 and interest as of 30th April 2011.
b. Interest on the said sum of US$107,964,877.51 from April 2011 until the final day of payment
c. Further and or in the alternative order of the Honourable Court for accounts of all sales of the goods received by the Defendant among others.
 

NIB in its defense and counterclaim vehemently disputed the claims of Eland and among others pleaded fraud, estoppel, and statute of limitation and consequently joined Eland Ghana in the suit.

On February 19, 2016, pursuant to an application by Eland to refer the matter to Arbitration in London, an order for arbitration was made by Mr. Justice Noble-Nkrumah thereby staying the proceedings at the High Court, Accra.

In pursuance of this order, Eland got the London Court to appoint an arbitrator over the matter and further mulcted NIB in cost.

NIB refused to participate in the arbitration proceedings and further engaged the services of a Private Legal Practitioner Lawyer Yaw Oppong of Messrs. Ampofo & Oppong to deal with the case in Ghana. 

NIB through its said lawyers marshaled legal arguments, coupled with the fact that Eland Ghana’s lawyer who had strenuously sought to oppose the application and had deposed to the affidavit failed to sign the same thus made the High Court set aside Court’s earlier ruling, referring the matter to arbitration on the grounds that there are issues before the court that borders on criminality which is not arbitrable.

In July 2021, the National Investment Bank (NIB) initiated this action at the London Court seeking to set aside the Order of the London Court referring the dispute to arbitration.