The Global Peace Mission (GPM) in league coalition of other civil society groups has called on Diamond bank plc to submit to alternative dispute resolution (ADR) in handling its dispute with Ohales & Associates its mortgaged property situated in Lagos.
The two are embroiled in feverish disagreement over issues involving loan account, excess repayments and mortgage property allegedly sold without notice or arising mortgagee’s power of sale.
Calling the mortgagor and the mortgagee for cease fire through the out-of-court settlement, the participants examined alleged issues of conspiracy and unlawful sale of the mortgaged property and observed that the account of the mortgagor no. oo18891532 with the mortgagee (Diamondbank plc) was well funded with a credit balance of N153,857,950.20 as at the material time of the dispute in November 2015.
They further observed that, without any statutory prior notice, the mortgagee informed the mortgagor by letter dated 6th of November 2015 that the mortgaged property was sold.
The ADR conference also observed that the mortgagor and petitioner sued the mortgagee in suit no. LD/2196/CMW/2016 at Lagos High Court, claiming order to set aside the wrongful sale of the mortgaged property; and that whilst the suit lasted, the mortgagee and purchaser regularly unleashed physical attacks with hired thugs in attempt to take possession of the property.
In a communiqué at the end of the ADR conference, participants advised both parties (Diamondbank, which failed to honour the invitation for the roundtable, and Ohales & Associates) to submit to arbitration and mediation by GPM in collaboration with other CSOs on the dispute.
The communiqué also mandated GPM to constitute a panel of 4 arbitrators with 2 members thereof, nominated by the mortgagee and 2 arbitrators from the mortgagor to the panel, empowered to make resolution by simple majority decision that the loan be reconciled forthwith to restore cordial banker- customer relation.
The communiqué was signed by Engr Musa Egbunu as chairman, G.O. Igugu, secretary, Prince Abasiediuwem (GPM), Kachi Marcus Ihesiulo (MILA Ltd/GTE), and Arc. Engr. H. O Ugwejeh.