Cosmo Trading PLC files three civil separate charges on some of individuals and companies pinning criminal charges on high profile business people and their companies.
On its amended charge filed mid this week, Cosmo Trading demanded the payment of close to 80 million birr from individuals and companies who gained value in connection to the lease and other means of the company’s facility located at Bole Street around Wollo Sefer.
It can be recalled that the Prosecution General Division, Ministry of Justice, had filed criminal charges on individuals and companies in linkage to criminal acts including; money laundering, financing of terrorism, illegally property confiscation and illegal money transfer.
During the latest civil charge filed to the Federal High Court at Lideta Civil Division, the company, which mostly was represented by its Managing Director and major shareholder, Haileyesus Mengistu, put forth claims pinning the defendants to pay close to 80 million birr with interest.
In the charge that Cosmo filed, both Azeb Mihretab and Temesgen Yilma were included on the criminal charge of the Prosecution General Division, in addition to Wan Hao Hotel plc to pay 29.87 million birr, which is a sum calculated for 23 months until December 2021 and for another seven months calculated from March to September 2022.
The charge said that the first and second defendants had a right to administer the company in capacities of deputy General Manager as per the power of attorney given in September 2019. This thus created the opportunity for defendants to lease Cosmo’s building and use the gain thereof to their own advantage rather than for the benefit of the company.
The charge added that the company requested the lessee, Wan Hao Hotel, in March 2022 to transfer the facility to the company and pay its arrears. However, the lessee disclosed that it settled the rental charge for the first and second defendant. On the charge, it demanded the court to give its verdict on the lessee to settle the payment to the company.
On the other charge, the company filed on Azeb Mihretab, Temesgen Yilma, and JJ Properties Management PLC in connection with a 32.5 million birr claim.
The file indicated that the first two defendants were using their power of administering Cosmo to secure a 61 million birr credit from Awash Bank with the nine floors building that is worth half billion birr in credit being used as collateral. Of the stated amount, the first 21 million birr settled debt that Cosmo had received. From the remaining 40 million birr, 25 million and 7.5 million birr, in total 32.5 million birr, was transferred to the third defendant, JJ Properties Management, which is owned by Azeb and the second defendant who has the full power of attorney.
The charge further stated that another seven million birr was transferred by the first defendant for a company that does not have any business relations with Cosmo.
Cosmo thirdly charged Temesgen and TTH Trading plc claiming that the first defendant transferred over 17.8 million birr secured from building rentals and sale of construction machines to the account of TTH Trading plc, which Temesgen owns 50 percent share.
The plaintiff requested the court for defendants to settle their stated amounts filed in the three different charges at relevant interest.