John Holt Wants Company Wound Up

In a bid to recover the debt of N35,249,134.00 a limited liability company, John Holt Plc, has filed a petition in court seeking the winding up of a Lagos-based company, Danaju Industries Limited.

In the petition filed before a federal high court in Lagos by the law firm of Okoro and Associate, it was alleged that John Holt Company, after due execution of contract of distribution and sales of Danaju Industries’ products commenced the distribution and sales of the companyís products using its wide network of distributors and outlets all over Nigeria.
The petitioner alleged further that unfortunately, every attempt it made to effectively market and sell the various range of products supplied to them and distributed to all its offices nationwide met a brick wall as the product was not found to be suitable by the petitioner’s customers.
Due to the difficulty in marketing the respondent’s products, the petitioner and the respondent entered into a mutual resale agreement wherein it was agreed that the companies’ marketing officers will assist the petitioner’s sales officers in marketing and sales of the various products already purchased by the petitioner from Danju company.
It was mutually agreed that since the petitioner has paid for all the goods under sales, the companyís officers shall deposit all proceeds realised from the sale of the products in a dedicated bank account for the purpose of reconciliation.
The company’s sales officers sold the goods and failed to pay the proceeds into the dedicated bank account provided for it as mutually agreed.
Going by the reconciliation carried out by the company, the company only paid the total sum of N145,574,652.00 to the petitioner leaving an outstanding balance of N35,249,134. The petitioner has made several demands for the payment of the debt but the company has refused to pay same.
The petitioner after several attempts by its officers to recover their outstanding sum of N35,249,134.00 from the respondent, became disenchanted and frustrated and consequently mandated the law firm of Messrs Okoro and Associate to recover the outstanding sum from the company.
The petitioner, therefore, prays as follows: That Danaju Industries Limited be wound up by the court under the provisions of the Companies and Allied Matters Act, cap C 20 laws of federation, 2004 for failure to pay its debt.
Justice Binta Murtala Nyako has adjourned case till 20 June this year.