GTCO Faces N1bn Defamation Suit

GTCO Plc Headlines Sponsorship For NPA Lagos International Polo Tournament
GTCO Plc Headlines Sponsorship For NPA Lagos International Polo Tournament

Guarantee Trust Company (GTCO) is currently enmeshed in a N1b defamation suit over an alleged libellous publication against Corporate Forwarders Limited. 

According to reports cited on AllNews Nigeria Solicitors to Corporate Forwarders, in a letter addressed to GTCO demanded a retraction, an apology and a compensation for the injurious libellious falsehood’ againt its client.

According to the letter GTCO  had erroneously flagged Corporate Forwarders Limited as credit risk based on a report from the Credit Risk Management System (CSRM)  of the Central Bank of Nigeria (CBN).

GTCO accused Corporate Forwarders of 1952 days late in repaying an overdraft of N13, 021,000 granted to the company in 2015.

However, Corporate Forwarders Ltd , a frontline logistics services provider of over 3 decades has never applied or received  any financial support from GTCO.

The letter stated that the alleged error on the part of GTCO made Corporate Forwarders lose out on securing a loan from another commercial bank, thereby resulting in financial losses for the company.

However, the bank which received the demand letter on Nov 4 has until Nov 11 (seven days) to pull down the offensive and defamatory publication from the Credit Risk Management’s System platform, publish an apology for the misinformation on a national daily and pay the sum of N1bn as compensation or face legal proceedings.

Recall that in July, Guarantee Trust Bank Plc (GTB) completed its re-organisation to a Holding Company Structure and adopted the name, Guarantee Trust Holding Company Plc (GTCO).

However, as at the time of filing this report, management of GTCO is yet to respond to the charges.