First Atlantic Bank has filed an application at the court seeking the liquidation of Kenpong Travel and Tour over an alleged unpaid debt of about GHS2.55 million.
According to court filings, the company is reportedly struggling to service the loan, prompting the bank to initiate legal proceedings to recover the outstanding amount.
The bank further contends that the loan was secured with land documents that were later discovered to be invalid and therefore not acceptable to the Lands Commission.
This development, the bank argues, has weakened the security backing the facility and heightened the risk of non-recovery.
As a result, First Atlantic Bank is asking the court to order the liquidation of the company to enable it to recover the funds owed.
The case is expected to be heard in court in the coming days, as stakeholders await further judicial directions on the matter.
