Thursday, October 27, 2011

DMC’s Assets Frozen after NOC Claims Cheque Bounces


Assets of DMC Construction Plc have been frozen by the Federal High Court Ninth Civil Bench on October 11, 2011, following a 6.7 million Br suit filed by the National Oil Company (NOC). The assets frozen are bitumen asphalt mix found on road construction sites of the company in the Southern Regional State.

NOC had filed the suit in September alleging that the construction company had issued it a cheque for that amount on June 19, 2011, which the oil company claims has bounced. It had also attached the alleged cheque issued from United Bank, Lebu-Lafto branch, as evidence.

Neway Zerge, lawyer of the plaintiff, also appealed for the court to order the freeze arguing that the construction firm was trying to transfer it property to third parties to avoid liabilities.

Nuredin Keder, the presiding judge, has ordered for the assets on the project sites to be frozen until the litigation is over. The construction company, which has completed several projects across the country, has yet to be summoned for a hearing.

The company owned by Daniel Mamo and Bethlehem Abebe, is known for the completion of asphalt roads in Hawassa town, 276Km south of Addis Abeba; a project credited to have changed the face of the thriving city. DMC is currently undertaking the construction of the headquarters of the Ethiopian Maritime Services on Churchill Avenue and the Ethiopian Red Cross Society on Ras Desta Damtew Street, adjacent to the Seventh Day Adventist Church.

NOC, an Oil company established in April 2004 by Mohammed Ali Al-Amoudi (Sheikh) and his local partners, including its current CEO, Tadesse Tilahun, claimed that the construction company should also pay it interest on the amount in contention from August 31, 2011, which is when it tried to withdraw the money.

By EDEN SAHLE
FORTUNE STAFF WRITER

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