Stanbic IBTC to appeal N4.5bn Starcomms private placement ruling.

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Stanbic IBTC Bank Plc has said it would appeal the court ruling on N4.5 billion breach of Starcomms private Placement contract involving former Group Managing Director of Afribank Nigeria Plc, Patrick Olayele Akinkuotu and his company, Long Term Global Capital Limited.

The Trial judge, Justice John Tsoho last week had ruled that Stanbic IBTC and Starcomms Plc pay an interest of 10 per cent (initial N1.3 billion) on the sum per annum until the date of final liquidation.

He also averred that the 100 million units of Starcomms’ shares sold to the plaintiffs through private placement in 2008 were improper, invalid, null and void and were hereby set aside

The financial institution in a statement to Nigerian Stock Exchange on Tuesday expressed that ,“ Stanbic IBTC Bank last week, exercised its constitutional right of appeal in relation to a judgment given by   the Honourable Justice John Tsoho of the Federal High Court, sitting in Lagos, which ordered the bank and Starcomms to pay the sum of N1.3 billion plus interest for alleged breach of a 2008 contract in a suit involving a former Group Managing Director of Afribank Nigeria Plc, Patrick Olayele Akinkuotu and his company, Long Term Global Capital Limited.

“Stanbic IBTC believes it has a legitimate basis for lodging this appeal.

“Stanbic IBTC affirmed its position that the bank, as Joint Issuing House with Chapel Hill Advisory Partners Limited, did not misrepresent any facts in the investor letter issued in relation to the private placement nor was such letter fraudulent.

“Stanbic IBTC’s appeal is being made with the utmost respect for our judicial system and we continue to maintain that we are a law abiding corporation, operating to high ethical standards,” the statement reads.

Akinkuotu and his company had sued the bank and Starcomms in 2012, alleging that Stanbic IBTC deliberately misled them into buying shares of the second defendant by misrepresenting facts and issuing false documents

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