IMO BREAKING NEWS BLOG

Innoson Vehicles Sues Imo State Government over N2.5B Debt

In a Press Statement released by Cornel Osigwe, Head Corporate Communications and Affairs IVM Innoson Group states that Nigeria's indigenous vehicle manufacturing company, Innoson Vehicles Manufacturing (IVM) has filed an over N2.5B lawsuit against the Imo State Government under the headship of Senator Hope Uzodinma over its failure to pay or service the debt of N2,547,666,435.00 (Two Billion, Five Hundred and Forty-Seven Million, Six Hundred and Sixty-Six Thousand, Four Hundred and Thirty-Five Naira) being the purchase price of the various IVM Vehicles including their parts which IVM manufactured, sold and delivered to the State Government but Imo State Governor or its government has refused and failed to pay same despite repeated demands and appeals. 

The lawsuit which was filed by Prof Joseph N Mbadugha, SAN, FCPA of McCarthy Mbadugha & Co, the counsel to Innoson Vehicles coming against repeated attempts made by the Chairman of Innoson Vehicles Manufacturing, Chief Dr. Innocent Chukwuma OFR, to the Governor urging him to pay the company on the vehicles sold, and delivered to the State Government.

According to him "For the avoidance of doubt, sometimes in April 2021, His Excellency, the Executive Governor of Imo State, Senator Hope Uzodinma invited the Chairman/CEO of Innoson Vehicles, Chief Dr. Innocent Chukwuma to the Imo State Government House, Owerri where they discussed and agreed that Innoson Vehicles would sell and supply various specifications of its brand of Vehicles to the State Government which includes, inter alia;

1.     70 units of Innoson 5 Seater double cabin pick-up (IVM Carrier) 4WD

2.     10 units of Innoson 5- Seater double cabin military pick up (IVM G12)

3.     10 units of Innoson 5 seater single cabin military pick-up (IVM G12)

4.     100 units of a complete siren with public addressing system, revolving light, and street police light;

5.     2 Units of IVM Ambulance Vehicles

6.     20 Units of IVM G12 MS11

7.     20 sets of B. Canopy

The above vehicles which were valued at over N2.5B ($6.3M) were supplied in good faith to the Imo State Government based on an understanding with the Governor which arose after a special request that Innoson Vehicles grant the State the favor of paying for the vehicles after deliveries to them and which request was granted and honored.

The special and privilege request granted to the Governor turned into a nightmare for Innoson Vehicles and Its Chairman after Chief Chukwuma had at various times through several visits, phone calls, messages, and submission of letters requesting payment appealed to the Governor and his conscience to make total payments or set up a payment plan that will offset the debt. 

The inability of the State Government to pay the aforesaid purchase price of the vehicles supplied has resulted in Innoson Vehicles having difficulties in fulfilling its loan repayment obligations to Keystone Bank Limited and Bank of Industry. These Banks granted their credit facilities at the rate of 10% interest and other fees therein. More so, it has led to the loss of profit arising therefrom and the accruing interest.

It is also interesting to note that as of July 27th, 2022, the over N2.5B worth of vehicles supplied to Imo State Government in April 2021 under the leadership of Hope Uzodinma with a dollar value of $6.3M is now worth $3.8M. Even if the money is paid today, the value of the money has depreciated by over 40%.

It is therefore based on this premise that Innoson Vehicle Manufacturing Company Ltd has begun the process of recovering its debts against the Imo State Government by slamming a lawsuit of over N2.5B with an interest rate of 10% on the entirety of the sum claimed at the High Court of Anambra State, Nnewi Division.

Cristiano Ronaldo is due to meet Manchester United manager Erik ten Hag on Tuesday to discuss his future at the club. The Portugal forward, 37, wants the club to let him leave this summer and he missed United's pre-season tour to Thailand and Australia because of personal reasons.

He has yet to train with the squad but has now flown back to Manchester. Ten Hag has previously said Ronaldo is "not for sale" and "in our plans." Ronaldo returned to United last season after playing for Real Madrid and Juventus. Ten Hag said he spoke to Ronaldo before the tour, explaining: "I had a good talk. That is between Cristiano and me. What I can confirm is we had a really good conversation together."

Ronaldo's absence from the tour fuelled speculation over his future, coming after he also missed the club's return to pre-season training at Carrington. He instead trained at the Portuguese national team's headquarters.

Ronaldo was United's top scorer last season - and third in the Premier League - but the club's overall campaign was seen as a big disappointment.

Manchester United have completed the signing of Argentina defender Lisandro Martinez from Ajax in a deal worth up to 67m euros (£57m).

United manager Erik ten Hag was keen to be reunited with the 24-year-old, who he signed for Ajax in 2019. He joins the club on a five-year contract which keeps him at Old Trafford until 2027, with the option of a further year. "It's an honour to join this great football club," Martinez said.

"I've worked so hard to get to this moment and, now that I'm here, I'm going to push myself even further." The centre-back is United's third signing of the summer following the arrivals of Christian Eriksen on a free transfer and Dutch full-back Tyrell Malacia.

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Senator Gobir replaces Senator Yahaya Abdullahi following his resignation as Senate Leader wing to the latter’s defection from the APC to the opposition Peoples Democratic Party.

Meanwhile, senators from opposition parties staged a walkout following a call to impeach President Muhammadu Buhari. 

This followed a mild drama that played out during the plenary in the upper chamber of the National Assembly in Abuja, the nation’s capital.

The Federal Executive Council has given approval to Nigeria Air to lease aircraft to start operations.

The Minister of Aviation, Mr Hadi Sirika made the announcement while briefing State House correspondents after the council meeting chaired by President Muhammadu Buhari at the Presidential Villa in Abuja on Wednesday.

The Minister, who didn’t disclose when the national carrier would starts its operations, said the company would begin with three aircrafts.

He added that Nigeria Air is open to investment from any of the country’s airline companies.

Barely twenty-four hours after senators from opposition parties issued a six-week ultimatum to the President to tackle the security challenges bedeviling the country, Buhari has summoned a National Security Council meeting today in Abuja. 

Senator Aduda of the minority caucus had raised a point of order asking the Senate President, Ahmad Lawan, to discuss the country’s security situation and President Buhari’s impeachment after which Senator Lawan, who presided over the plenary, declined the request of the minority leader, saying the point of order raised fell flat on its face.

Angered by the action of the Senate President, all the lawmakers elected on the platforms of all political parties other than the All Progressives Congress (APC) took turns to walk out of the legislative chamber while the plenary was ongoing.

In response to the looming threat, the emergency meeting has in attendance the National Security Adviser, retired Major General Babagana Monguno, Minister of Defence, retired Major General Bashir Magashi and that of Police Affairs, Maigari Dingyadi.