The court of appeal has dismissed a stay of proceedings application by International Finance Corporation (IFC) which sought to put on hold an ongoing case with Quantum Oil Terminals Limited at the High Court over a breach of a contract.
According to the ruling of the court, it found no reason to stay proceedings at the high court looking at the argument before them.
The court made up of three justices of the court of appeal, namely Justice PK Gyaesayor, Justice Agnes Dordzie and Justice Issifu Tanko Amadu, also awarded a cost of two thousand cedis to Quantum.
The case for a stay of proceedings was earlier filed at the high court but was dismissed.
The local Ghanaian company Quantum is demanding $41,319,123 in total damages, from the International Finance Corporation (IFC) and the OPEC Fund for allegedly failing to provide it with a $16-million loan facility which was agreed among the three entities.
The said loan was to be used by Quantum to construct a petroleum storage facility in Tema in 2012 to help it meet a National Petroleum Authority (NPA) regulation that required bulk oil distribution companies to construct their own storage facilities.
Before then, Quantum was storing its products in facilities at the Bulk Oil Storage and Transportation (BOST) Company Limited, which served notice to Quantum that it could not continue to store its products there from 2014, in line with the NPA directive.
According to Quantum, the amount includes fees and charges paid directly paid to IFC and OPEC Fund, fees and charges paid to various consultants at the direction of IFC and OPEC Fund and statutory fees paid by plaintiff to create charges for the benefit of IFC and OPEC Fund.
Quantum Oil said rather than assisting it to develop and grow its business, IFC and OPEC Fund rather worsened and reduced Quantum Oil’s business fortunes and prospects and in the process rendered Quantum Oil poorer than before.
According to Quantum Oil, unless otherwise compelled to do so by orders of the court, IFC and OPEC Fund will simply not take responsibility for the colossal damages they have willfully caused to Quantum Oil.
By: Fred Djabarnor/citibusinessnews.com/Ghana