Harmony Trust and Investment Company Nigeria Limited has raised concern over John Holt Plc’s inability to pay up its N60 million debt, saying it is a breach of agreement.
In a statement, Harmony Trust and Investment Company’s attorney, of Adedeji & Owotomo firm, Mr. Segun Idowu said that in December 2015, its client (Harmony Trust and Investment Company) advanced a short term bailout fund of N60 million to John Holt Plc based on trust and long standing relationship, but that John Holt defaulted according to the agreed period.
“This prompted Harmony Trust to drag them to Lagos State High Court sitting in Igbosere after attempts to settle out of court failed,” he stated.
In a swift move to calm the situation, Idowu said that John Holt released N15 million to Harmony Trust with a deficit of N45 million standing. This however, did not go down well with Harmony Trust as the company is still threatening to go ahead with its legal action.
Judging from the audited financial report of John Holt ‘2015 Annual Financial Report’, released to shareholders, it indicated that in the last financial year, the company reorded loss to the tune of N311 million and has not been able to reward its shareholders for many years. John Holt establishment for over a century has been one of the most reliable firms with diverse establishments across Nigeria.
Reacting to this, Chairman, John Holt, Dr. Chris Eze, said that the matter has been resolved and necessary action is to be taken to settle the debts.