By Landing Ceesay
The High Court of The Gambia, presided over by Hon. Justice Ebrima Jaiteh, has removed Apogee FZC, a Russian oil company, from Creed Energy’s lawsuit against Access Bank. The ruling, issued on Wednesday, was based on a motion filed by Apogee, citing a lack of reasonable cause of action against the company.
Justice Jaiteh’s ruling followed a motion filed by Apogee on October 10, 2024, which requested the court to remove it from the lawsuit, asserting that Creed Energy had not presented a reasonable cause of action against them.
In a motion filed on October 10, 2024, by Senior Counsel Amie Bensouda on behalf of Apogee, the Russian entity is seeking a court order to dismiss Creed Energy’s lawsuit due to insufficient disclosure of a reasonable cause of action against them. They also request any other orders the court may consider appropriate under the circumstances.
The motion is supported by a 12-paragraph affidavit, also dated October 10, 2024.
In the affidavit, Apogee FZC asserts that Creed Energy’s statement of claims and writ of summons are solely directed at Access Bank, thus failing to establish a reasonable cause of action against Apogee.
Creed Energy initiated the lawsuit against Access Bank on November 7, 2023, seeking declarations and damages for alleged breach of contract related to the bank’s violation of customer relationships.
On November 23, 2023, Apogee FZC was joined in the lawsuit after Hon. Justice Jaiteh of the High Court of The Gambia granted their application.
Creed Energy Limited, founded in 2021 under The Gambia’s Companies Act of 2013, engages in various business activities, including energy consultancy, petroleum trading and retailing, allied services, and general trading.
In their lawsuit against Access Bank Gambia Limited, Creed Energy Limited alleges that the bank transferred D339,963,424.01 of their funds to the account of Ultimate-Beige Logistics Gambia Company Limited. The plaintiff contends that this action by Access Bank has hindered the state’s ability to collect taxes owed by Creed Energy Limited for the importation and sale of diesel in the country.
Moreover, Creed Energy Limited asserts that the Gambia Revenue Authority is currently conducting an investigation into their operations to determine the amount of tax payable for the mentioned Diesel transactions. According to Creed Energy Limited, Access Bank’s actions are perceived as contributing to the obstruction of the state’s ability to collect the rightful taxes owed by the company.
The company alleges that Access Bank’s actions contribute to hindering the state from collecting the rightful taxes for the mentioned transaction.
Attributing losses and damages to Access Bank’s actions, Creed Energy is seeking a declaration from the High Court of the Gambia that designates them as the customers of Access Bank, not APOGEE FZC.
Accordingly, Creed Energy contends that Access Bank is obligated to adhere to their instructions within the legal framework governing their banker-customer relationship.
Creed Energy Limited is seeking a court order directing Access Bank to execute instructions for the closure of the subaccounts established and managed immediately, with the funds contained therein to be relocated and/or transferred to its primary current account.
Creed Energy also wanted a declaration that Access Bank’s purported transfer of the sum of GMD 339, 963, 424.01 (Three Hundred and Thirty-Nine Million, Nine Hundred and Sixty-Three Thousand, Four Hundred and Twenty-Four Dalasis, Zero-One Bututs) into the account of Ultimate-Beige Logistics (Gambia) Company Limited made without the Plaintiff’s instructions is insistent with the law that governs their banker customer relationship and thereby amounts to a breach of contract.
Creed Energy also sought for the court to make an order for Access Bank to return the sum of GMD339, 963, 424.01 (Three Hundred and Thirty-Nine Million, Nine Hundred and Sixty-Three Thousand, Four Hundred and Twenty-Four Dalasis, and zero-One Bututs) being the funds debited by the Defendant on November 3, 2023, from the Plaintiff’s account without Plaintiff’s instruction.
Creed Energy is seeking GMD 5,000,000.00 (Five Million Dalasis) in general damages for breach of contract. They are also seeking aggravating damages against Access Bank for its “arbitrary” behavior.Additionally, Creed Energy is requesting GMD 300,000.00 (Three Hundred Thousand Dalasis) to cover the administrative and legal expenses incurred in this litigation. Finally, they are asking the court to order Access Bank to pay them interest at a rate of 4% from the date of judgment to the date of payment.
The Energy company also wanted an Injunction against Access Bank restraining itself, its agents, employees or servants from giving access, allowing withdrawal, transferring or doing any transaction or interfering with the sum of GMD 339,963,424.01 (Three Hundred And Thirty-Nine Million, Nine Hundred and Sixty-Three Thousand, Four Hundred and Twenty-Four Dalasis, Zero-One Bututs) transferred into the account of Ultimate-Beige Logistics (Gambia) Company Limited pending the determination of this suit.”
In its affidavit in support of the motion sworn to by one Saihou Singhateh, a Practice Assistance at Amie Bensouda and Co. Legal Practice, Apogee believes that Creed Energy’s statement of claim failed to disclose a reasonable cause of action against them.
Mr. Singhateh asserted that he has been informed by Counsel Abdul Aziz Bensouda, and he believes the same to be true, that: Creed Energy’s Statement of Claim does not disclose any reasonable cause of action against Apogee FZC.
“I have been further informed by said Counsel and I believe the same to be true that all of the Plaintiff’s (Creed Energy) claims are against the 1st Defendant (Access Bank) and not against the 2nd Defendant/Applicant (Apogee FZC) which was the main basis for the 2nd Defendant’s opposition to the application for injunction.”In fact, I am aware that the Plaintiff herein has, following the ruling of this Court dismissing the motion for interlocutory injunction, instituted another suit against the 2nd Defendant claiming, among other things, payment of all monies from the 2nd Defendant based on the same transaction (supply of 36,935.614 metric tons of diesel),” Mr. Singhateh said.
When the case was mentioned on the 23rd of October 2024, Counsel Sheriff Kumba Jobe, the lawyer representing Creed Energy in the lawsuit informed the court that after consultation with Apogee FZC, he had no intention to oppose the application filed on the 10th of October 2024.
Following his submission, Hon. Justice Jaiteh granted the application and struck out Apogee FZC from the lawsuit.
This decision means Creed Energy’s lawsuit is now against only Access Bank (1st Defendant).The case has been adjourned to October 30, 2024, for continuation.