Court Throws Out Multi-Media Broadcasting Application

An Accra High Court has thrown out an application filed by Multi-Media Broadcasting Company Ltd., owners of 'Joy FM,' and two of its reporters, (Defendants), praying the court for an order striking out Masai Developers and one other company owned by the Managing Director of Masai, Mr. Eddie Annan (Plaintiffs), as parties to a libel action brought against them.

The court, presided over by Justice Yaw Appau, Wednesday, this week, dismissed the application for lack of merits and awarded a cost of ?600,000 against the defendants.

The court further ordered the defendants to file their defence to the action of libel brought against them by the plaintiff.

After careful consideration of the submissions of both parties, the court did not share the view of the defendants/applicants to the effect that 1st and 3rd plaintiffs companies had been "misjoined" in the action and that the two companies had no cause of action against them.

Explaining further, the court noted that the alleged statement does not affect the 2nd plaintiff alone as a person, but also affects the 1st and 3rd plaintiffs as limited liability companies in relation to the conduct of their businesses.

As a result of the outcome of the case, Counsel for the defendants/applicants, Mr. Charles Zwennes, said he would appeal against the court ruling and apply for stay of execution.

Putting forward their application, Counsel for the defendants/applicants, prayed the court to strike out the names of the said companies (1st and 3rd plaintiffs) as parties to the suit for "misjoinder" since they are not involved with the action bought against his clients.

Mr. Annan initiated an action of libel against Multimedia Broadcasting, Komla Dumor and Sonny Decker, both reporters of the company, over what he considers libelous comments broadcast over the Accra FM radio, about two years ago.

In support of their case, Counsel for the defendants/applicants argued that the two companies, which are in the custody of the 2nd plaintiff (Mr. Annan), are not connected to the alleged statement made and complained of, to the effect that his client has impugned allegations of fraud, collusion, corruption and conflict of interest on the part of the former Director-General of the Social Security and National Insurance Trust (SSNIT), Mr. Charles Asare, certain officials of SSNIT and third persons.

Counsel further contended, among other things, that a company could not, in accordance with the law, bring action for libel or slander for a statement, which is not connected to itself but on members, employees or officials of the company.

He noted that the only connection in regard to 1st and 3rd plaintiffs is that the 2nd plaintiff holds shares in the 1st Plaintiff's company and is a Managing Director of the 3rd Plaintiff's company and for that matter.

Counsel further submitted that the alleged crimes are only capable of being committed by natural persons and not companies and that libel case should be properly taken on individually by the appropriate person who felt aggrieved as a result of an injury to his personal reputation.

In opposition to the application filed by the defendants/applicants, Counsel for plaintiffs/respondents, Mr. Tony Lithur, contended that there has not been a "misjoinder" since the alleged defamatory statement made does not only affect the 2nd Plaintiff but affects the interest of the two companies as well.

In his response, counsel strongly argued that the alleged defamatory statement goes beyond mere implication as the defendants/applicants suggest that Mr. Annan is a direct agent of corruption for the direct benefit of the 1st and 3rd Plaintiffs' companies.

In this respect, Counsel contended the statement affects all the plaintiffs and not the 2nd plaintiff alone, who is the majority shareholder in the 1st plaintiff's company and the Managing Director of the 3rd plaintiff's company.