Sterling Bank denies excess charges allegation


Sterling Bank Plc has refuted the claim by Hotel Excel Limited that it imposes excess charges to the tune of N200 million, stating that the Hotel was merely using a section of the media to pressurize the bank to drop charges of loan default against it.

Although the Warri based Hotel Excel Limited is a customer of the bank, Sterling Bank noted that the hotel obtained a loan but defaulted in repayment, stressing that following the floating of AMCON to take care of bad debts from failed debtors of banks, the bank sold part of the debt to AMCON.

According to the bank, AMCON bought a total value of N1.13 billion out of the debt leaving an outstanding balance of N782 million.

It however, said that the customer in its continued attempt to renege on its loan obligations filled a suit against AMCON and the bank consequent upon which the it filed a counter claim for the outstanding loan of N782 million.

However, instead of allowing the judicial process to run its course on the matter, Sterling Bank said that Hotel Excel Limited resorted to blackmail within the social media circle apparently in a bid to cow and intimidate it.

The bank affirmed that despite the adoption of guerrilla warfare by Hotel Excel Limited, it will continue to pursue the case to a logical conclusion adding that it is not disturbed by the action of the hotel thus far.

It also dismissed claims by the hotel that the bank failed to send to it a periodic statement of its account as contracted adding that at no time was any statement containing bloated charges and fraudulent entries were sent to the Hotel.

“Sterling Bank is not disturbed or distracted by reports making rounds that we impose excess charges on our customers. We have over a million customers and they cannot all be wrong about their choice of banking with Sterling Bank.

“Hotel Excel Limited is owing the Bank the total sum of N782,381, 474 .16 and this will be recovered through legal means.

“All that the Hotel is doing now is to pressurize the Bank to back out of the judicial process put in place. We will see the process through and recover the money”, the bank said in a statement signed by Shina Atilola, Group Head, Strategy & Communications.

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