The Manager Bassam Michel Azar takes a local bank to court and claims 500 million CFA francs

The manager of the "Amandine" pastry shop, Bassam Michel Azar, has just taken a bank to court, more specifically to the Commercial Court of Bamako for compensation for damages, following Cofina's refusal to grant him a loan of 300 million CFA francs. , on the grounds that the “Amandine” pastry shop has been downgraded by the Bank at the level of the BCEAO. In fact, the said bank had downgraded the account of another company of Bassan Michel Azar, namely "Azar-Libre-Service" into a "doubtful and litigious" account at the level of the Bceao because this company does not manage to respect its commitments for the repayment of a loan of more than one billion CFA francs contracted during 2019. This situation is penalizing the other companies of Bassam Michel Azar at the level of financial institutions.

It is now a new legal soap opera that opens between a local bank and the manager of the “Amandine” pastry shop, Bassan Michel Azar, who is also director of the “ Azar-Libre-Service” company. The latter has just taken the said bank to court for “compensation for damages” caused to the “Amandine” pastry shop following the downgrading of the account of the Company “Azar-Libre-Service” to a “doubtful and litigious” account with the Central Bank. West African States (Bceao).

What is it exactly?

In fact, during 2019, the “Azar-Libre-Service” Company represented by its Manager Bassan Michel Azar requested and obtained from the Bank financial assistance, the amount of which is estimated at more than one billion of our francs. To do this, he assigned to the mortgage with regard to the financial institution his building housing “Azar Center” as a guarantee for the payment of the said sum, as indicated in the agreement drawn up before the Notarial Office of Maître Madina Sylla , notary by state.

Unfortunately, the director of the “Azar-Libre-Service” Company has faced enormous difficulties, especially with the advent of the Coronavirus or Covid-19 pandemic since last March. Added to this is the disastrous state of the economy at the national level because of the events that have followed one another. As was to be expected, the “Azar-Libre-Service” Company, like other companies, was confronted with difficulties within the framework of its activities, which had a definite impact on the decline in the volume of its turnover. This is why Bassan Michel Azar could not respect his commitments vis-à-vis the Bank, despite his good faith. As a result, this situation created a delay in respecting the payment schedules as agreed between the parties. Despite everything, according to our information, the “Azar Libre-Service” Company continued to make payments to the Bank.

The problem is that the bank did not understand the delay in payments. As a result, she closed the current account N°20401040805-27 API of “Azar Libre-Service” recorded in her book. This is a flagrant violation of the texts governing the matter, according to specialists.

It was only on June 18, 2020 that the Bank notified Bassam Michel Azar of the downgrading of his company's account to the category of “doubtful and disputed” accounts. Whereas in banking practice, downgrading presupposes the closing of the account and referral to the Central Bank of West African States (Bceao), with a view to reporting the doubtful and/or litigious nature of a debt. In other words, a debt that presents a probable or certain risk of partial or total non-recovery.

This is why the Bceao is obliged, in turn in this case, to give the alert to all financial institutions with a view to no longer granting any financial assistance to the customer concerned by the downgrading. “Anything that constitutes a real obstacle for the customer to obtain a bank loan from another financial institution due to the downgrading of his account. That this is how Bassam Michel Azar, in his capacity as Manager of the Amandine Pâtisserie, which has nothing to do not only with the Bank, but also with the Azar Libre-Service Company, requested, following correspondence of 9 September 2020, from the Company “Cofina” a medium-term credit request for the sum of 300 million CFA francs, in the name and on behalf of the Pâtisserie Amandine” , told us a source close to the file.

And There you go ! The manager of the “Amandine” pastry shop, Bassam Michel Azar, was greatly surprised to see the refusal of his request by the manager in charge of “Cofina” affairs. Reason: the downgrading of the account of the Company “Azar-Libre-Service” by the bank at the level of the Bceao. “It remains constant all the same that this should in no way concern the other companies of Bassam Michel Azar, which have neither near nor far any contractual relationship with the said bank. Therefore, the Bank had to be vigilant, so that by downgrading the account of the Azar-Libre-Service Company at the level of the BCEAO, to say that the other companies of Bassam Michel are in no way concerned by this downgrading .

That this lack of vigilance on the part of the Bank to spare Bassam Michel's other commercial companies, in relation to this downgrading and which have nothing to do with the Bank, has jeopardized the credibility of Pâtisserie Amandine and above all posed a real obstacle to have financial assistance from another financial institution, in this case Cofina, of the sum of 300 million CFA francs to renovate the Amandine pastry shop.

The lack of vigilance shown by the Bank in downgrading the account of the Azar-Libre-Service Company and in ensuring that this downgrading affects all the companies of which Bassam Michel is manager, does not suffer from any reservation in this business” , specifies our source.

Our interlocutor specified: “This lack of vigilance on the part of the Bank has caused immeasurable damage to Pâtisserie Amandine, of which Bassam Michel Azar is the manager, which are, among other things: its other companies can no longer have line of credit at the level of other financial institutions and above all the loss of its credibility as a highly renowned economic operator, recognized both nationally and internationally. In view of all the foregoing, the Bank's liability must be established by ordering it to pay compensation for all the damage that Pâtisserie Amandine has just suffered through Cofina's refusal to grant it financial assistance. in the medium term relating to 300 million CFA francs, while it has offered serious guarantees”.

These are the reasons that led the Manager of the "Amandine" pastry shop, Bassam Michel Azar, to finally bring the Bank to court, more specifically before the Bamako Commercial Court whose public hearing was scheduled for yesterday, Thursday November 5. For the purpose of compensation for damage, he is claiming payment from the Bank of the sum of 500 million CFA francs. Case to follow El Hadj AB HAIDARA