Dana Group May Fold Up As Bank Takes Over Assets

News reaching Aproko247 from the stables of Dana Group of companies is not a palatable one and if the information is anything to go by, it then means the existence of the company in Nigeria may be good as over.

This is because the group is said to be indebted to a financial institution. Dana Group, according to reports, is owing Sterling Bank several billions of naira which is yet to be paid.

Dana group, we learnt, was dragged to a Federal High Court sitting in Lagos by Sterling bank, and after legal fireworks, the court ruled in favour of Sterling Bank.

The bank, thereafter appointed the chambers of Kunle Ogunba (SAN) of Insolvency Forte as Receiver/Manager over the entire undertakings and stocks, good will, plant and machinery, moveables and fixed property or assets of Dana Group of Companies PLC.

The deed of appointment of Receiver/Manager was dated the 23rd of April, 2014 and has been duly registered with the Corporate Affairs Commission, Abuja.

In a public notice published in a national newspaper on Wednesday June 18 2014 by Kunle Ogunba & associates, the chamber stated that, ”All debtors of the company are to pay directly to the Receiver/Manager. Also all creditors (if any) are to send their proof of claims to the Receiver/Manager within 14 (fourteen) days from the day of this publication”.

The Receiver/Manager also stated that ”All deposits, cash, shares and others currently held by banks, Financial Institutions, Companies and Regulatory Authorities in Nigeria should be held until the insurance of further instruction by the Receiver/Manager in accordance with the pre-emptive Orders of Court in SUIT FHC/L/CS/877/2014 pending within the bossom of the Federal High Court, Lagos division. All holders of such deposits and current account should contact the Receiver/Manager stating the balances and where secured facilities are granted, the type of security attached should be disclosed”.

With the appointment of Receiver/Manager over the entire assets of Dana group, it is crystal clear that the group may seize to exist in the country again.

Dana group is made up of several companies which include Dana Air limited, Dana cars and services (distributors or Kia motors and Renault ), Dana plastic limited, Dana drugs limited and Dana Rice.
Other companies under the group are Aquadana, Ashrina limited, Dana motors limited and others.

Dana Group was reportedly established in the mid 80′s.